Broner, Fernando; Martin, Alberto; Ventura, Jaume; … - Banco de España - 2014
key ingredients: creditor discrimination and crowding-out effects. Creditor discrimination arises because, in turbulent … for domestic purchases of debt. Crowding-out effects arise because private borrowing is limited by financial frictions … growth and welfare, and may lead to self-fulfilling crises. It also shows how crowding-out effects can be transmitted to …