Identifying the Effects of Bank Failures from a Natural Experiment in Mississippi during the Great Depression
利用密西西比州因分属两个联邦储备区而导致的银行倒闭差异，研究发现银行倒闭通过减少实际产出降低了企业收入，但对工厂就业无显著影响，而县级就业大幅下降。
I examine the causal effect of bank failures during the Great Depression using the quasi-experimental setup of Richardson and Troost (2009). The experiment is based on Mississippi being divided into two Federal Reserve districts, which followed different policies for liquidity provision. This translated into variation in bank failures across the state. Employing a plant-level sample from the Census of Manufactures, I find that banking failures had a negative effect on revenue stemming from a fall in physical output. I find no effect on employment at the plant-level and a large decline at the county-level.