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Keywords: Informational advantage
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Journal Articles
Journal:
Review of Accounting and Finance
Review of Accounting and Finance (2017) 16 (4): 462–477.
Published: 13 November 2017
... is because of affinity or an informational advantage. The authors define a local investor as an investor who is from the same US state as the borrower. Findings The paper finds that loans offered by local investors have lower interest rates and a lower default probability. In addition, when the level...
