Nelson, Benjamin; Pinter, Gabor; Theodoridis, Konstantinos - Bank of England - 2015
United States, we find that a contractionary monetary policy shock has a persistent negative impact on the asset growth of … commercial banks, but increases the asset growth of shadow banks and securitisation activity. To explain this ‘waterbed’ effect … close to explaining the empirical results. Our findings cast doubt on the idea that monetary policy can usefully ‘get in all …