Ioannidou, Vasso; Ongena, S.; Peydro, J.L. - Tilburg University, Center for Economic Research - 2009
almost fully dollarized. Consequently the US federal funds rate is the appropriate measure of monetary policy. We study the … impact of the federal funds rate on the riskiness and pricing of new bank loans granted in Bolivia between 1999 and 2003, a … period of significant variation in the federal funds rate. We find robust evidence that a decrease in the US federal funds …