"We study the relationship between banking competition and the transmission of monetary policy through the bank lending channel. Using business small loan origination data provided from the Community Reinvestment Act from 1996-2002 in our analysis, we are able to reaffirm the existence of the...

Examines the impact of monetary policy on thebanking industry, and in turn private-sector borrowing, specifically by smallbusinesses. Changes in monetary policy may impact bank lending through theirimpacts on a bank's costs, and this impactmay vary in relationtothe degree of banking competition...