Arbeitspapier
Financing constraints, employment, and labor compensation: evidence from the subprime mortgage crisis
This paper identifies the effect of financing constraints on firms’ labor demand. We exploit exogenous funding shocks to German savings banks during the US mortgage crisis that are unrelated to local conditions. We find that firms with credit relationships with affected banks experienced a significant decline in employment and in labor compensation relative to firms whose credit relationships were with healthy banks. We also find that the employment effect increases, and the wage effect decreases with firm size. The decline in employment at firms attached to affected banks appears to be more long-lasting than the decline in labor compensation.
- ISBN
-
978-92-899-1634-9
- Sprache
-
Englisch
- Erschienen in
-
Series: ECB Working Paper ; No. 1821
- Klassifikation
-
Wirtschaft
Financial Crises
Banks; Depository Institutions; Micro Finance Institutions; Mortgages
Labor Demand
Wage Level and Structure; Wage Differentials
- Thema
-
Credit constraints
employment
financial crisis
labor compensation
- Ereignis
-
Geistige Schöpfung
- (wer)
-
Popov, Alexander
Rocholl, Jörg
- Ereignis
-
Veröffentlichung
- (wer)
-
European Central Bank (ECB)
- (wo)
-
Frankfurt a. M.
- (wann)
-
2015
- Handle
- Letzte Aktualisierung
-
10.03.2025, 11:43 MEZ
Datenpartner
Dieses Objekt wird bereitgestellt von:
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. Bei Fragen zum Objekt wenden Sie sich bitte an den Datenpartner.
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. Bei Fragen zum Objekt wenden Sie sich bitte an den Datenpartner.
Objekttyp
- Arbeitspapier
Beteiligte
- Popov, Alexander
- Rocholl, Jörg
- European Central Bank (ECB)
Entstanden
- 2015
Ähnliche Objekte (12)
Understanding the securitization of subprime mortgage credit
Second chances: Subprime mortgage modification and re-default
Systematic and liquidity risk in subprime-mortgage backed securities
How subprime borrowers and mortgage brokers shared the pie
Mortgage financing of private households
Subprime mortgage lending in New York City: Prevalence and performance
The financial innovation hypothesis: Schumpeter, Minsky and the sub-prime mortgage crisis
Old wine in a new bottle: Subprime mortgage crisis - causes and donsequences
The effect of large investors on asset quality: Evidence from subprime mortgage securities
Financial literacy and subprime mortgage delinquency: Evidence from a survey matched to administrative data
How smart are investors after the subprime mortgage crisis? Evidence from the securitization market
Effectiveness of interest rate policy of the Fed in management of subprime mortgage crisis
Understanding the securitization of subprime mortgage credit
Second chances: Subprime mortgage modification and re-default
Systematic and liquidity risk in subprime-mortgage backed securities
How subprime borrowers and mortgage brokers shared the pie
Mortgage financing of private households
Subprime mortgage lending in New York City: Prevalence and performance
The financial innovation hypothesis: Schumpeter, Minsky and the sub-prime mortgage crisis
Old wine in a new bottle: Subprime mortgage crisis - causes and donsequences
The effect of large investors on asset quality: Evidence from subprime mortgage securities
Financial literacy and subprime mortgage delinquency: Evidence from a survey matched to administrative data
How smart are investors after the subprime mortgage crisis? Evidence from the securitization market
Effectiveness of interest rate policy of the Fed in management of subprime mortgage crisis
Understanding the securitization of subprime mortgage credit
Second chances: Subprime mortgage modification and re-default
Systematic and liquidity risk in subprime-mortgage backed securities
How subprime borrowers and mortgage brokers shared the pie
Mortgage financing of private households
Subprime mortgage lending in New York City: Prevalence and performance
The financial innovation hypothesis: Schumpeter, Minsky and the sub-prime mortgage crisis
Old wine in a new bottle: Subprime mortgage crisis - causes and donsequences
The effect of large investors on asset quality: Evidence from subprime mortgage securities
Financial literacy and subprime mortgage delinquency: Evidence from a survey matched to administrative data
How smart are investors after the subprime mortgage crisis? Evidence from the securitization market