Coherent Identifier About this item: 20.500.12592/mst6gx

Did prudent risk management practices or weak customer demand reduce PPP lending by the largest banks?

30 March 2021


By Paul H. Kupiec Abstract Regulatory data shows large differences between large and small banks’ response to the Paycheck Protection Program (PPP). Large bank loan originations are smaller than predicted based on operational characteristics and historical lending patterns. One possible explanation is that large banks put greater emphasis on the legal and reputational risks associated …


Paul H. Kupiec
Resident Scholar


coronavirus economics banking small business stimulus us economy bank regulation monetary economics