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THEORIES OF THE BANKING FIRM: A REVIEW OF THE LITERATURE*

Job Swank

Bulletin of Economic Research, 1996, vol. 48, issue 3, 173-207

Abstract: This paper reviews the theoretical literature on the banking firm. Apart from studies dealing purely with the reasons why banks exist, the survey is fairly comprehensive in that it covers the main categories of microeconomic models of bank behaviour. The emphasis is on recent work, which also includes modern, information‐based, theories of loan commitments, credit rationing, collateral and the bank‐client relationship.

Date: 1996
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https://doi.org/10.1111/j.1467-8586.1996.tb00632.x

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