Pintus, Patrick A.; Wen, Yi - Federal Reserve Bank of St. Louis - 2008
credit supply may generate large boom-
bust business cycles. This paper rationalizes this idea in a dynamic general equilib … the business cycle (e.g., Tugan-Baranovsky, 1894; Wick-
sell, 1898 and 1906) and ask whether such theory holds water in …-Baranovsky�s economic theory on business cycles, see Barnett (2001).
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improves the borrowers�credit worthiness, which relaxes their future …