Unsecured credit markets are not insurance markets
We study the extent to which unsecured credit markets have altered the transmission of increased income risk to consumption variability over the past several decades. We find that unsecured credit markets pass through increased income risk to consumption, irrespective of bankruptcy policy and the information possessed by lenders. If risk sharing has indeed improved over this period, the reasons do not therefore lie in the unsecured credit market.
Year of publication: |
2009
|
---|---|
Authors: | Athreya, Kartik ; Tam, Xuan S. ; Young, Eric R. |
Published in: |
Journal of Monetary Economics. - Elsevier, ISSN 0304-3932. - Vol. 56.2009, 1, p. 83-103
|
Publisher: |
Elsevier |
Keywords: | Risk sharing Asymmetric information Bankruptcy Default |
Saved in:
Online Resource
Saved in favorites
Similar items by person
-
A Quantitative Theory of Information and Unsecured Credit
Athreya, Kartik, (2012)
-
Bankruptcy and delinquency in a model of unsecured debt
Sanchez, Juan M., (2012)
-
BANKRUPTCY AND DELINQUENCY IN A MODEL OF UNSECURED DEBT
Athreya, Kartik, (2018)
- More ...