Proximity to Bank Headquarters and Branch Efficiency: Evidence from Mortgage Lending
利用新航线开通减少总部与分行间旅行时间，发现缩短距离能增加分行抵押贷款发放量并提高贷款表现，原因是员工更努力高效地寻找客户和筛选申请。
Abstract We use the staggered introduction of new flight routes to identify reductions in travel time between banks’ headquarters and branches to examine their effects on branch outputs and efficiency. Reductions in headquarters–branch travel time increases branch‐level mortgage origination volume, and these loans exhibit higher ex post performance. Further analyses suggest these effects are due to branch employees working harder and more efficiently in seeking new customers and screening applications. Overall, our results imply that geographic proximity enables bank headquarters to monitor branches more effectively and mitigate distance‐related agency costs.