Consumer Bankruptcy and Information

Jason Allen, H. Evren Damar & David Martinez-Miera
We analyze the relationship between the intensity of banks’ use of soft-information and household bankruptcy patterns. Using a unique data set on the universe of Canadian household bankruptcies, we document that bankruptcy rates are higher in markets where the collection of soft, or qualitative locally gathered information, is the weakest. Using two Canadian bank mergers as exogenous variation in local market structure, we show that the differences in bankruptcy rates are not due to changes...
This data repository is not currently reporting usage information. For information on how your repository can submit usage information, please see our documentation.