Andriani, Luca (2014) Is acting prosocially beneficial for the credit market? Review of Social Economy 72 (3), pp. 354-378. ISSN 0034-6764.
Abstract
This article argues that behaving prosocially reduces regional finance differentials in terms of interest and insolvency rates. This is because prosociality implies more transparent information and cooperation among the parties engaged in a financial contract. The context of study is Italy, well known for its regional economic and financial disparities. The analysis is developed through a cross-regional two period panel model during the years 1998 and 2003. Empirical evidence shows that regions with a higher proportion of prosocial individuals report lower interest and insolvency rates. When legal enforcement is included in the specified model, evidence suggests that more efficient third-party enforcement can transmit a stronger sense of legal abidance and facilitate the internalisation of social norms of cooperation.
Metadata
| Item Type: | Article |
|---|---|
| Keyword(s) / Subject(s): | prosocial behaviour, credit, legal enforcement, insolvency, two-period panel |
| School: | Birkbeck Faculties and Schools > Faculty of Business and Law > Birkbeck Business School |
| Research Centres and Institutes: | Innovation Management Research, Birkbeck Centre for, Responsible Business Centre |
| Depositing User: | Sarah Hall |
| Date Deposited: | 18 Aug 2014 16:22 |
| Last Modified: | 02 Aug 2023 17:12 |
| URI: | https://eprints.bbk.ac.uk/id/eprint/10433 |
Statistics
Additional statistics are available via IRStats2.
Archive Staff Only (login required)
