Lender Trust and Bank Loan Contracts

References

• Acharya VV, Eisert T, Eufinger C, Hirsch C (2018) Real effects of the sovereign debt crisis in Europe: Evidence from syndicated loans. Rev. Financial Stud. 31(8):2855–2896.Crossref, Google Scholar
• Algan Y, Cahuc P (2010) Inherited trust and growth. Amer. Econom. Rev. 100(5):2060-2092.Crossref, Google Scholar
• Altman EI, Suggitt HJ (2000) Default rates in the syndicated bank loan market: A mortality analysis. J. Banking Finance 24(1–2):229–253.Crossref, Google Scholar
• Bebchuk L, Cohen A, Ferrell A (2009) What matters in corporate governance? Rev. Financial Stud. 22(2):783–827.Crossref, Google Scholar
• Bénabou R, Tirole J (2003) Intrinsic and extrinsic motivation. Rev. Econom. Stud. 70(3):489–520.Crossref, Google Scholar
• Berg T, Saunders A, Schäfer L, Steffen S (2021) Brexit and the contraction of syndicated lending. J. Financial Econom. 141(1):66–82.Crossref, Google Scholar
• Berg T, Saunders A, Steffen S, Streitz D (2017) Mind the gap: The difference between US and European loan rates. Rev. Financial Stud. 30(3):948–987.Crossref, Google Scholar
• Bernile G, Bhagwat V, Rau PR (2017) What doesn’t kill you will make you more risk-loving: Early-life disasters and CEO behavior. J. Finance 72(1):167–206.Crossref, Google Scholar
• Bhagwat V, Liu X (2020) The role of trust in information processing: Evidence from security analysts. Accounting Rev. 95(3):59–83.Crossref, Google Scholar
• Bodnaruk A, Simonov A (2016) Loss-averse preferences, performance, and career success of institutional investors. Rev. Financial Stud. 29(11):3140–3176.Crossref, Google Scholar
• Bottazzi L, Da Rin M, Hellmann TF (2016) The importance of trust for investment: Evidence from venture capital. Rev. Financial Stud. 29(9):2283–2318.Crossref, Google Scholar
• Bushman RM, Davidson RH, Dey A, Smith A (2018) Bank CEO materialism: Risk controls, culture and tail risk. J. Accounting Econom. 65(1):191–220.Crossref, Google Scholar
• Bushman R, Gao J, Martin X, Pacelli J (2021) The influence of loan officers on loan contract design and performance. J. Accounting Econom. 71(2–3):101384.Crossref, Google Scholar
• Carlin BI, Dorobantu F, Viswanathan S (2009) Public trust, the law, and financial investment. J. Financial Econom. 92(3):321–341.Crossref, Google Scholar
• Chava S, Roberts MR (2008) How does financing impact investment? The role of debt covenants. J. Finance 63(5):2085–2121.Crossref, Google Scholar
• Custódio C, Metzger D (2013) How do CEOs matter? The effect of industry expertise on acquisition returns. Rev. Financial Stud. 26(8):2008–2047.Crossref, Google Scholar
• Costello AM, Wittenberg-Moerman R (2011) The impact of financial reporting quality on debt contracting: Evidence from internal control weakness reports. J. Accounting Res. 49(1):97–136.Crossref, Google Scholar
• Demerjian PR, Owens EL (2016) Measuring the probability of financial covenant violation in private debt contracts. J. Accounting Econ. 61(2–3):433–447.Crossref, Google Scholar
• Dittmar A, Duchin R (2016) Looking in the rearview mirror: The effect of managers’ professional experience on corporate financial policy. Rev. Financial Stud. 29(3):565–602.Google Scholar
• Duarte J, Siegel S, Young L (2012) Trust and credit: The role of appearance in peer-to-peer lending. Rev. Financial Stud. 25(8):2455–2484.Crossref, Google Scholar
• DuPont Q, Karpoff J (2020) The trust triangle: Laws, reputation, and culture in empirical finance research. J. Bus. Ethics 163:217–238.Crossref, Google Scholar
• Ferreira MA, Matos P (2012) Universal banks and corporate control: Evidence from the global syndicated loan market. Rev. Financial Stud. 25(9):2703–2744.Crossref, Google Scholar
• Gabaix X, Landier A (2008) Why has CEO pay increased so much? Quart. J. Econom. 123(1):49–100.Crossref, Google Scholar
• Gallagher MW, Lopez SJ, Pressman SD (2013) Optimism is universal: Exploring the presence and benefits of optimism in a representative sample of the world. J. Personality 81(5):429–440.Crossref, Google Scholar
• Giannetti M, Wang TY (2016) Corporate scandals and household stock market participation. J. Finance 71(6):2591–2636.Crossref, Google Scholar
• Gompers PA, Mukharlyamov V, Xuan Y (2016) The cost of friendship. J. Financial Econom. 119(3):626–644.Crossref, Google Scholar
• Graham J, Li S, Qiu J (2008) Corporate misreporting and bank loan contracting. J. Financial Econom. 89(1):44–61.Crossref, Google Scholar
• Graham J, Harvey C, Popadak J, Rajgopal S (2021) Corporate culture: Evidence from the field. Working paper, Duke University, North Carolina.Google Scholar
• Guiso L, Sapienza P, Zingales L (2008) Trusting the stock markets. J. Finance 63(6):2557–2600.Crossref, Google Scholar
• Guiso L, Sapienza P, Zingales L (2015) The value of corporate culture. J. Financial Econom. 117(1):60–76.Crossref, Google Scholar
• Hasan I, Hoi CK, Wu Q, Zhang W (2017) Social capital and debt contracting: Evidence from bank loans and public bonds. J. Financial Quant. Anal. 52(3):1017–1047.Crossref, Google Scholar
• Heckman JJ (1979) Sample selection bias as a specification error. Econometrica 47(1):153–161.Crossref, Google Scholar
• Hilary G, Huang S (2022) Trust and contracting: Evidence from church sex scandals. J. Bus. Ethics. Forthcoming.Google Scholar
• Hofstede G, Hofstede GJ, Minkov M (2010) Cultures and Organizations: Software of the Mind, 3rd ed. (McGraw-Hill, New York).Google Scholar
• Jiang D, Lim SS (2018) Trust and household debt. Rev. Finance 22(2):783–812.Google Scholar
• Jones JJ (1991) Earnings management during import relief investigations. J. Account. Res. 29(2):193–228.Google Scholar
• Kalmijn M (1999) Father involvement in childrearing and the perceived stability of marriage. J. Marriage Family 61(2):409–421.Crossref, Google Scholar
• Knack S, Keefer S (1997) Does social capital have an economic payoff? A cross-country investigation. Quart. J. Econom. 112(4):1251–1288.Crossref, Google Scholar
• La Porta R, Lopez-de-Silanes F, Shleifer A, Vishny RW (1997) Trust in large organizations. Amer. Econom. Rev. 87(2):333–338.Google Scholar
• Lesmeister S, Limbach P, Goergen M (2019) Trust and shareholder voting. European Corporate Governance Institute Working Paper No. 569/2018, University of Cologne, Cologne.Google Scholar
• Lim J, Minton BA, Weisbach MS (2014) Syndicated loan spreads and the composition of the syndicate. J. Financial Econom. 111(1):45–69.Crossref, Google Scholar
• Lin C, Liu X (2018) CEO saving culture and corporate cash holdings. Working paper, The University of Hong Kong, Hong Kong.Google Scholar
• Lin C, Ma Y, Malatesta P, Xuan Y (2011) Ownership structure and the cost of corporate borrowing. J. Financial Econom. 100(1):1–23.Crossref, Google Scholar
• Lin C, Ma Y, Malatesta P, Xuan Y (2012) Corporate ownership structure and bank loan syndicate structure. J. Financial Econom. 104(1):1–22.Crossref, Google Scholar
• Liu X (2016) Corruption culture and corporate misconduct. J. Financial Econom. 122(2):307–327.Crossref, Google Scholar
• McCahery JA, Sautner Z, Starks LT (2016) Behind the scenes: The corporate governance preferences of institutional investors. J. Finance 71(6):2905–2932.Crossref, Google Scholar
• Murfin J (2012) The supply‐side determinants of loan contract strictness. J. Finance 67(5):1565–1601.Crossref, Google Scholar
• Nguyen DD, Hagendorff J, Eshraghi A (2018) Does a CEO’s cultural heritage affect performance under competitive pressure? Rev. Financial Stud. 31(1):97–141.Crossref, Google Scholar
• Nini G, Smith DC, Sufi A (2012) Creditor control rights, corporate governance, and firm value. Rev. Financial Stud. 25(6):1713–1761.Crossref, Google Scholar
• Oster E (2019) Unobservable selection and coefficient stability: Theory and evidence. J. Bus. Econom. Statist. 37(2):187–204.Crossref, Google Scholar
• Pan Y (2017) The determinants and impact of executive-firm matches. Management Sci. 63(1):185–200.Link, Google Scholar
• Pan Y, Siegel S, Wang TY (2017) Corporate risk culture. J. Financial Quant. Anal. 52(6):2327–2367.Crossref, Google Scholar
• Pan Y, Siegel S, Wang TY (2020) The cultural origin of CEOs’ attitudes toward uncertainty: Evidence from corporate acquisitions. Rev. Financial Stud. 33(7):2977–3030.Crossref, Google Scholar
• Pevzner M, Xie F, Xin X (2015) When firms talk, do investors listen? The role of trust in stock market reactions to corporate earnings announcements. J. Financial Econom. 117(1):190–223.Crossref, Google Scholar
• Rieger MO, Wang M, Hens T (2015) Risk preferences around the world. Management Sci. 61(3):637–648.Link, Google Scholar
• Schwert M (2018) Bank capital and lending relationships. J. Finance 73(2):787–830.Crossref, Google Scholar
• Sufi A (2007) Information asymmetry and financing arrangements: Evidence from syndicated loans. J. Finance 62(2):629–668.Crossref, Google Scholar
• Williamson OE (1993) Calculativeness, trust, and economic organization. J. Law Econom. 36(1):453–486.Crossref, Google Scholar
• Xie F, Zhang B, Zhang W (2022) Trust, incomplete contracting, and corporate innovation. Management Sci. Forthcoming.Google Scholar