The banking literature occasionally refers to bank loan accommodation, that is, the willingness o... more The banking literature occasionally refers to bank loan accommodation, that is, the willingness of commercial banks to make loans at such favorable terms that they suffer a diminution of profits. Such behavior is explained by a strategy of temporarily reducing profits in order to increase long run gains through the strengthening of customer relations. This studys empirical analysis fails to find any evidence to support the accommodation view of bank behavior.
This study reviews selected issues related to the role that black-owned banks can play in contrib... more This study reviews selected issues related to the role that black-owned banks can play in contributing to the economic development of low-income, minority communities. Given their paucity in numbers, their lack of size, and their financial weaknesses, they have yet to demonstrate that they can serve as an important engine of growth for their communities. Also, for over 150 years, it has been argued that black-owned banks are needed because of discrimination by financial institutions against black customers. Various studies give conflicting results, but so far there is no conclusive evidence that lending discrimination exists. To encourage bank lending to low-income communities, the Community Reinvestment Act was enacted. Some black-owned banks however, have complained that the Act encourages unfair competition from other banks for the same loan customers. Hence, the case for an essential role for black-owned banks has yet to be made decisively. Evidence, however, suggests that their profitability and efficiency improves with time. Hence in the future, with greater experience, black-owned banks may play a more important role in their communities
... 2. Grameen Bank 2.1 The Start of Something Big Despite this discouraging history, in 1983, in... more ... 2. Grameen Bank 2.1 The Start of Something Big Despite this discouraging history, in 1983, in Bangladesh, Muhammad Yunus lent $27 to a ... 4. Alternative Financial Institutions (AFIs) Although this survey focuses on MFIs, it would be remiss to neglect mentioning AFIs such as ...
The global fi nancial crisis of 2007-09 has been characterized as the most severe economic calami... more The global fi nancial crisis of 2007-09 has been characterized as the most severe economic calamity since the global great depression of the early 1930s. In this paper we argue that its magnitude in terms of global GDP declines and losses in jobs cannot be explained by a single cause. We organize the contributing causes in groups of microeconomic and, macroeconomic effects and conclude that no individual group alone was suffi cient to cause the crisis but that both generated the great global recession. We then focus on the spillover effects on the crisis on the different regions of the world.
ABSTRACT Corruption is a serious problem worldwide, especially in developing countries. This stud... more ABSTRACT Corruption is a serious problem worldwide, especially in developing countries. This study investigates the impact of eight forms of government economic intervention on corruption in 157 countries grouped either by per-capita income or by region, for the period 2000 to 2006. The evidence shows that property rights were consistently the most important source of corruption suggesting that anti-corruption efforts should start with reforming the legal system. Corruption was also found associated with government intervention in business and trade and less so in the financial and monetary areas. Government spending and taxation were negatively associated with corruption, implying that what contributes most to corruption is not government size or taxes, but instead regulations and the failure to adequately protect property rights. There appears to be ample room to reduce corruption, especially for developing economies by simplifying and reducing government economic intervention.
The banking literature occasionally refers to bank loan accommodation, that is, the willingness o... more The banking literature occasionally refers to bank loan accommodation, that is, the willingness of commercial banks to make loans at such favorable terms that they suffer a diminution of profits. Such behavior is explained by a strategy of temporarily reducing profits in order to increase long run gains through the strengthening of customer relations. This studys empirical analysis fails to find any evidence to support the accommodation view of bank behavior.
This study reviews selected issues related to the role that black-owned banks can play in contrib... more This study reviews selected issues related to the role that black-owned banks can play in contributing to the economic development of low-income, minority communities. Given their paucity in numbers, their lack of size, and their financial weaknesses, they have yet to demonstrate that they can serve as an important engine of growth for their communities. Also, for over 150 years, it has been argued that black-owned banks are needed because of discrimination by financial institutions against black customers. Various studies give conflicting results, but so far there is no conclusive evidence that lending discrimination exists. To encourage bank lending to low-income communities, the Community Reinvestment Act was enacted. Some black-owned banks however, have complained that the Act encourages unfair competition from other banks for the same loan customers. Hence, the case for an essential role for black-owned banks has yet to be made decisively. Evidence, however, suggests that their profitability and efficiency improves with time. Hence in the future, with greater experience, black-owned banks may play a more important role in their communities
... 2. Grameen Bank 2.1 The Start of Something Big Despite this discouraging history, in 1983, in... more ... 2. Grameen Bank 2.1 The Start of Something Big Despite this discouraging history, in 1983, in Bangladesh, Muhammad Yunus lent $27 to a ... 4. Alternative Financial Institutions (AFIs) Although this survey focuses on MFIs, it would be remiss to neglect mentioning AFIs such as ...
The global fi nancial crisis of 2007-09 has been characterized as the most severe economic calami... more The global fi nancial crisis of 2007-09 has been characterized as the most severe economic calamity since the global great depression of the early 1930s. In this paper we argue that its magnitude in terms of global GDP declines and losses in jobs cannot be explained by a single cause. We organize the contributing causes in groups of microeconomic and, macroeconomic effects and conclude that no individual group alone was suffi cient to cause the crisis but that both generated the great global recession. We then focus on the spillover effects on the crisis on the different regions of the world.
ABSTRACT Corruption is a serious problem worldwide, especially in developing countries. This stud... more ABSTRACT Corruption is a serious problem worldwide, especially in developing countries. This study investigates the impact of eight forms of government economic intervention on corruption in 157 countries grouped either by per-capita income or by region, for the period 2000 to 2006. The evidence shows that property rights were consistently the most important source of corruption suggesting that anti-corruption efforts should start with reforming the legal system. Corruption was also found associated with government intervention in business and trade and less so in the financial and monetary areas. Government spending and taxation were negatively associated with corruption, implying that what contributes most to corruption is not government size or taxes, but instead regulations and the failure to adequately protect property rights. There appears to be ample room to reduce corruption, especially for developing economies by simplifying and reducing government economic intervention.
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Papers by Nicholas Lash