ریسک کل، سهمیه بندی اعتبار و انباشت سرمایه

Financial intermediation plays an important role in the capital allocation process in developing economies. Financial markets are often subject to aggregate risk. This risk, which cannot be eliminated by diversification, can affect the fundamental viability of a financial intermediary and disrupt the capital accumulation process. The model considers a bank that faces excess demand in the loan market. The bank can ration credit by loan quality and by loan quantity. Intermediaries react to aggregate risk by being more selective in the criteria they use to screen loan applicants. The interaction of credit rationing and intermediarys default probability affects capital accumulation. The more efficient the banking system in resolving borrower default and banking failures, the more industries can be financed for a given opportunity cost.