Song, Joonhyuk; Ryu, Doojin - In: Economics: The Open-Access, Open-Assessment Journal 15 (2021) 1, pp. 3-27
As Korea's household debt has increased rapidly since the mid-2000s, concerns that its economy's hard-wired leveraging … long-run trend. Housing preferences and monetary shocks can both trigger deleveraging, as most household debt is profoundly … connected to the housing market, and debt growth increases sensitivity to interest rates. Constructing a dynamic stochastic …