Gender and Banking: Are Women Better Loan Officers?

We analyze gender differences associated with loan officer performance. Using a unique data set for a commercial bank in Albania over the period 1996 to 2006, we find that loans screened and monitored by female loan officers show statistically and economically significant lower default rates than loans handled by male loan officers. This effect comes in addition to a lower default rate of female borrowers and cannot be explained by sample selection, overconfidence of male loan officers or experience differences between female and male loan officers. Our results seem to be driven by differences in monitoring, as loan officers of different gender do not seem to screen borrowers differently based on observable borrower characteristics. This suggests that gender indeed matters in banking.Behavioral banking;loan officers;gender;loan default;monitoring;screening

Sex and Credit: Is There a Gender Bias in Microfinance?

This paper examines the effects of group identity in the credit market. Exploiting the quasirandom assignment of first-time borrowers to loan officers of a large Albanian lender, we test for own-gender bias in the loan officer-borrower match. We find that borrowers pay on average 29 basis points higher interest rates when paired with a loan officer of the other sex. The results indicate the presence of a taste-based rather than a statistical bias, as borrowers’ likelihood of going into arrears is independent of loan officer gender. Ending up with an opposite-sex loan officer also affects demand for credit, with borrowers being 11.5 percent less likely to return for a second loan. The bias is more pronounced when the social distance, as proxied by difference in age between the loan officer and the borrower, increases and when financial market competition declines. This is consistent with theories that predict a tastebased bias to be stronger when the psychological costs of being biased are lower and the discretion in setting interest rates is higher. Taken together, the findings suggest that owngender preferences can have substantial welfare effects.Identity;interest rates;gender;loan officers;microfinance

On Time-Space Noncommutativity for Transition Processes and Noncommutative Symmetries

We explore the consequences of time-space noncommutativity in the quantum mechanics of atoms and molecules, focusing on the Moyal plane with just time-space noncommutativity ($[\hat{x}_\mu ,\hat{x}_\nu]=i\theta_{\mu\nu}$, \theta_{0i}\neqq 0, $\theta_{ij}=0$). Space rotations and parity are not automorphisms of this algebra and are not symmetries of quantum physics. Still, when there are spectral degeneracies of a time-independent Hamiltonian on a commutative space-time which are due to symmetries, they persist when \theta_{0i}\neqq 0; they do not depend at all on $\theta_{0i}$. They give no clue about rotation and parity violation when \theta_{0i}\neqq 0. The persistence of degeneracies for \theta_{0i}\neqq 0 can be understood in terms of invariance under deformed noncommutative ``rotations'' and ``parity''. They are not spatial rotations and reflection. We explain such deformed symmetries. We emphasize the significance of time-dependent perturbations (for example, due to time-dependent electromagnetic fields) to observe noncommutativity. The formalism for treating transition processes is illustrated by the example of nonrelativistic hydrogen atom interacting with quantized electromagnetic field. In the tree approximation, the $2s\to 1s +\gamma$ transition for hydrogen is zero in the commutative case. As an example, we show that it is zero in the same approximation for $\theta_{0i}\ne 0$. The importance of the deformed rotational symmetry is commented upon further using the decay $Z^0 \to 2\gamma$ as an example.Comment: 13 pages, revised version, references adde

Friedmann limits of rotating hypersurface-homogeneous dust models

The existence of Friedmann limits is systematically investigated for all the hypersurface-homogeneous rotating dust models, presented in previous papers by this author. Limiting transitions that involve a change of the Bianchi type are included. Except for stationary models that obviously do not allow it, the Friedmann limit expected for a given Bianchi type exists in all cases. Each of the 3 Friedmann models has parents in the rotating class; the k = +1 model has just one parent class, the other two each have several parent classes. The type IX class is the one investigated in 1951 by Goedel. For each model, the consecutive limits of zero rotation, zero tilt, zero shear and spatial isotropy are explicitly calculated.Comment: 39 pages, LaTeX, 1 postscript figure. Subjects: General relativity, exact solutions, cosmolog

Individual versus Village Lending: Evidence from Montenegro

This paper analyzes differences in loan performance across two Montenegrin microfinance institutions with different lending techniques using a sample of individuals borrowing from both institutions. We make use of administrative data from both institutions over the period 2004-2013. While one institution relies on village associations for screening and monitoring of borrowers, the other institution uses the individual liability approach. We find that the likelihood to go into arrears is higher for the institution with a strictly individual lending technique, while the likelihood of going into arrears over 30 days is higher for the institution working with village associations. These results are robust to a variety of additional tests, including different definitions of arrears and subsamples. Our findings suggest that the institution using an individual lending technique provides certain flexibility to its clients, while the village-based microfinance institution might face more strategic default behavior. We provide evidence that once a borrower is in arrears, (s)he is more likely to stay in arrears for more than 30 days in branches with a higher share of borrowers in arrears and in the village-based lender. Our findings provide evidence that a village- or group-based lending technique is not necessarily superior to the individual lending technique in terms of loan performance

Makroökonomische Einflussfaktoren auf die Risikoprämien deutscher Bankaktien

Die vorliegende Studie untersucht fur den Zeitraum Februar 1973 bis Dezember 2003 den Einfluss sechs makrookonomischer Variablen auf die Risikoprämien von Bankaktien in Deutschland. Besondere Bedeutung kommt der getrennten Analyse von Universal- und Hypothekenbanken zu. Die Untersuchungsergebnisse bestatigen die Eingangshypothese, dass die Renditen der Aktien von Universalbanken anderen Ein°ussfaktoren als die von Hypothekenbanken unterliegen. Durch die Verwendung eines dynamischen Regressionsmodells konnten zudem erhebliche Schwankungen des Einflusses der makrookonomischen Faktoren im Zeitablauf festgestellt werden. Dabei kann in nahezu allen Variationen die Varianz der Risikopramien durch die makrookonomischen Faktoren soweit erklärt werden, dass auch eine Erweiterung um den Marktfaktor keine Verbesserung des Modells mehr erzielt

Boosting Higgs pair production in the bbˉbbˉb\bar{b}b\bar{b} final state with multivariate techniques

The measurement of Higgs pair production will be a cornerstone of the LHC program in the coming years. Double Higgs production provides a crucial window upon the mechanism of electroweak symmetry breaking and has a unique sensitivity to the Higgs trilinear coupling. We study the feasibility of a measurement of Higgs pair production in the $b\bar{b}b\bar{b}$ final state at the LHC. Our analysis is based on a combination of traditional cut-based methods with state-of-the-art multivariate techniques. We account for all relevant backgrounds, including the contributions from light and charm jet mis-identification, which are ultimately comparable in size to the irreducible $4b$ QCD background. We demonstrate the robustness of our analysis strategy in a high pileup environment. For an integrated luminosity of $\mathcal{L}=3$ ab$^{-1}$, a signal significance of $S/\sqrt{B}\simeq 3$ is obtained, indicating that the $b\bar{b}b\bar{b}$ final state alone could allow for the observation of double Higgs production at the High-Luminosity LHC.Comment: 47 pages, 22 figures. v2: updated references, added comparison of post-MVA kinematic distributions. v3: matches published version in EPJ