Project Title: Real Effects of Deregulating the Scope of Financial Intermediation
Project Summary: The first project quantifies the reduction in agency costs and the efficiency gains of universal banks by considering the boundaries of syndication. I focus on the size of syndicates depending on the scope of the participating banks, and hypothesise that such syndicates will be smaller in size in the presence of universal, rather than commercial or investment, banks. The second project extends the perspective to international spill-overs of the U.S. banking deregulation. I propose to scrutinize in what way shocks to cross-selling loans and non-loan services in the U.S. may have spurred the integration of commercial and investment banking among international universal banks.
Project Period: 1.10.2013-31.5.2016