An Analysis of Bank Loan Rate Indexation
研究银行贷款承诺的经济原理，以及将承诺贷款利率与优惠利率挂钩对信贷分配的影响。模型显示，指数化会改变不同客户群体的相对借贷成本，非优惠客户在资金成本上升时承诺贷款相对成本下降。
ABSTRACT This paper examines the economic rationale for the use of bank loan commitments and the effect on the allocation of bank credit of indexing the loan rate offered through the commitment to the prime. A simple model of the loan market is constructed and used to examine the effect changes in loan demand and the cost of bank funds have on the allocation of bank credit under indexation. It is shown that indexing implies changes in the relative cost of borrowing for certain groups of bank customers. For nonprime customers, an increase in the cost of bank funds results in a decline in the relative cost of borrowing under commitments. The pattern of commitment use is found to be consistent with the predictions of the model.