Martin, Alberto; Moral-Benito, Enrique; Schmitz, Tom - 2019
initially raises housing credit demand and crowds out credit to non-housing firms. If the bubble lasts, however, housing credit … repayments raise banks' net worth and expand credit supply, so that crowding-out eventually gives way to crowding-in. This is … consistent with evidence from the recent Spanish housing bubble. Initially, credit growth of non-housing firms was lower at banks …