Profesores Escuela de Gobierno y Transformación Pública

Dra. Sara Gabriela Castellanos Pascacio "Bancarizing with credit cards: experimental evidence on interest rates and minimum payments elasticities for new clients"

 

Abstract:

 

We study the bankarization of marginal borrowers using credit cards and document that it is hard: default risk is substantial, returns heterogeneous, and account closings common. We also take advantage of a randomized control trial that varied interest rates and minimum payments in a very wide range. Against our hypothesis, we find that default risk is very insensitive to (randomized) large changes in interest rates and minimum payments. This implies that regulating these may not “protect” consumers against default and that moral hazard in this market is negligible on average.

 

Fecha: 29 de abril de 2015

Lugar en vivo: Campus Santa Fe, Aulas 2, Aula Magna 2

Transmisión en Monterrey: Escuela de Gobierno y Transformación Pública, Salón 305

Hora: 12:00-14:00

Público: Abierto