Berrospide, Jose M.; Edge, Rochelle M. - Federal Reserve Board (Board of Governors of the … - 2010
The effect of bank capital on lending is a critical determinant of the linkage between financial conditions and real … and Morgan's (2006) VAR model, and again find modest effects of bank capital ratio changes on lending. These results are … effects of bank capital on loan growth. Our estimated models are then used to understand recent developments in bank lending …