question, we identify the compositional changes in banks' supply of credit using the variation in their holdings of residential …

provides some new evidence on the drivers of the great moderation and analyses the banking sector's pro-cyclicality by using …

conditions, credit default and bank capitalization for the transmission of macroeconomic shocks. We fit the model to euro area … empirical literature, i.e. the pro-cyclicality of bank profitability and the counter-cyclical response of firm default rates and … credit spreads to monetary policy shocks. …

In U.S. data 1981-2012, unsecured firm credit moves procyclically and tends to lead GDP, while secured firm credit is … acyclical; similarly, shocks to unsecured firm credit explain a far larger fraction of output fluctuations than shocks to … secured credit. In this paper we develop a tractable dynamic general equilibrium model in which unsecured firm credit arises …

outside the production process as a financial capital or credit as per the classical Ricardian wage fund framework. Stock of … credit or financial capital as past savings, finances employment and machines or capital goods used in the process of … much more than before. Introducing finance affects trade patterns with unemployment and especially with imperfect credit …