• Endogenous product differentiation in credit markets : what do borrowers pay for? 

      Kim, Moshe; Kristiansen, Eirik Gaard; Vale, Bent (Discussion paper, Working paper, 2001-11)
      This paper studies strategies pursued by banks in order to differentiate their services from those of their rivals. In that way competition among banks is softened. More specifically we analyze if the bank size, the ...
    • What determines banks’ market power? : Akerlof versus Herfindahl 

      Kim, Moshe; Kristiansen, Eirik Gaard; Vale, Bent (Discussion paper, Working paper, 2005-09)
      We introduce a model analyzing how asymmetric information problems in a bank-loan market may evolve over the age of a borrowing firm. The model predicts a life-cycle pattern for banks’ interest rate markup. Young firms ...