著者

今 喜典

出版者

日本経済学会

雑誌

The Economic Studies Quarterly (ISSN:0557109X)

巻号頁・発行日

vol.38, no.3, pp.223-233, 1987-09-30 (Released:2008-02-28)

参考文献数

17

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This paper examines the effects of the bank-customer relationship in a corporate growth model with imperfect capital market. Repeated transactions under the customer relationship in the bank loan market are mainly caused by the efficient use of the information accumulated during their past transactions when the bank evaluates the firm's credit worthiness. Advantages from this inside information, however, would be deminishing as this firm grows since the corporate growth itself reveals publicly the credit worthiness of the firm.Introducing these two factors into a corporate growth model, and formulating the bank-customer relationship as a long term contract, we determine endogenously the length of the contract, the corporate growth rate, and the interest rate under the contract. Our main conclusions are that, compared with the non-repeated transactions, (1) the loan interest rate is lower under the customer relationship, and (2) the corporate growth rate decrease (increase) under the customer relationship if the firm size is large (small) at the beginning of the contract.