Cookies

We use cookies to ensure that we give you the best experience on our website. You can change your cookie settings at any time. Otherwise, we'll assume you're OK to continue.

Research Seminars

Virtual seminar: Ralph de Haas - European Bank for Reconstruction and Development

Wednesday, 6 October 2021
14:00 to 15:20
Ralph de Haas
Virtual event

Topic: Discriminatory Lending: Evidence from Bankers in the Lab

As part of the External Economics and Finance Seminar Series.

Abstract: We implement a lab-in-the-field experiment with 334 Turkish loan officers to document gender discrimination in small business lending and to unpack the mechanisms at play. Each officer reviews multiple real-life loan applications in which we randomize the applicant's gender. While unconditional approval rates are the same for male and female applicants, loan officers are 26 percent more likely to require a guarantor when we present the same application as coming from a female instead of a male entrepreneur. A causal forest algorithm to estimate heterogeneous treatment effects reveals that this discrimination is strongly concentrated among young, inexperienced, and gender-biased loan officers. Discrimination mainly affects female loan applicants in male-dominated industries, indicating how financial frictions can perpetuate entrepreneurial gender segregation across sectors.

Click here to join the event.

Virtual seminar: Ralph de Haas - European Bank for Reconstruction and Development

Wednesday, 6 October 2021
14:00 to 15:20
Ralph de Haas
Virtual event

Topic: Discriminatory Lending: Evidence from Bankers in the Lab

As part of the External Economics and Finance Seminar Series.

Abstract: We implement a lab-in-the-field experiment with 334 Turkish loan officers to document gender discrimination in small business lending and to unpack the mechanisms at play. Each officer reviews multiple real-life loan applications in which we randomize the applicant's gender. While unconditional approval rates are the same for male and female applicants, loan officers are 26 percent more likely to require a guarantor when we present the same application as coming from a female instead of a male entrepreneur. A causal forest algorithm to estimate heterogeneous treatment effects reveals that this discrimination is strongly concentrated among young, inexperienced, and gender-biased loan officers. Discrimination mainly affects female loan applicants in male-dominated industries, indicating how financial frictions can perpetuate entrepreneurial gender segregation across sectors.

Click here to join the event.