OB BASICS & GOALS
What is the main action Open Banking allows customers to choose to do?
Share their financial transaction data
What country supplied the detailed microdata used for both consumer and SME analysis?
The UK
What consumer attitude was found to predict earlier OB policy adoption?
Consumer trust in sharing data with fintechs.
What two key goals motivate governments to implement Open Banking policy?
Competition and innovation
What specific type of investment measures global innovative entry following OB policy adoption?
Venture Capital (VC) investment in fintechs.
What happens to global VC investment in fintech startups immediately after OB policy adoption?
Dramatically increases
What historical practice does OB upend by giving customers control over their data?
Banks having exclusive control over customer data
What are the two main distinct consumer use cases for Open Banking in the UK?
Advice OB and Credit OB.
Which OB use case (Advice or Credit) is associated with greater financial knowledge among UK consumers?
Advice OB
As of October 2021, how many countries had adopted their key Open Banking policies?
49 countries
The SME data policy applied only to firms with annual sales below this amount
£25 million
What type of financial institution was most likely to gain new SME lending relationships after the UK policy?
Fintechs
Which Journal published this article?
The Journal of Financial Economics.
What type of econometric method, using a treatment group and a post-policy period, used to analyze SME lending effects?
Difference-in-Differences
What group of SMEs, defined by their prior borrowing activity, was found to benefit the most from forming new lending relationships after the UK data-sharing policy?
Firms with prior / multiple lending relationships