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IS THE LEADERBOARD INFORMATION USEFUL TO INVESTORS?: THE LEADERBOARD EFFECT IN P2P LENDING
| Content Provider | CiteSeerX |
|---|---|
| Author | Do, Hyunmyung Jeon, Seongmin Banker, Rajiv Lee, Byungtae Yoo, Byungjoon |
| Abstract | P2P (Online Peer-to-Peer) lending provides an open marketplace where borrowers make requests for loans by lenders who subsequently decide whether to bid or not following an examination of the relevant information posted by borrowers. In this P2P lending context, the leaderboard, where popular loan requests are displayed at the web’s front page, provides information for lenders to use when evaluating the requests. We empirically examine the effects of leaderboard information regarding the most popular existing loan requests. Our results show that the leaderboard information works ex ante in attracting additional bids to get loan requests successfully financed. However, it does not work ex post in improving the performance so that it has less potential for default. |
| File Format | |
| Access Restriction | Open |
| Subject Keyword | Leaderboard Information Useful Investor Leaderboard Effect P2p Lending Leaderboard Information Loan Request Open Marketplace P2p Lending Context Web Front Page Online Peer-to-peer Additional Bid Relevant Information Popular Loan Request |
| Content Type | Text |