The paper argues that the traditional difficulty encountered in finding evidence on the effects of credit availability … information on credit rationing for 1,200 Italian firms over the last twenty years. We find that the elasticity of a firmï …¿½s investment to the availability of bank credit has been significant in periods of economic contraction, but not in other periods …

We study the effect of the increase in Italian sovereign debt risk on credit supply on a sample of 670,000 bank …-firm relationships between December 2010 and December 2011, drawn from the Italian Central Credit Register. To identify a causal link, we … heterogeneity. We find that Italian banks tightened credit supply: the lending of Italian banks grew by about 3 percentage points …

followed by an increase in the cost of wholesale and of certain forms of retail funding for banks and in the cost of credit to …

volume and cost of credit granted to business borrowers and to the probability of banks accepting loan applications from new … borrowers during the 2007-2008 financial crisis. The identification of the credit-supply effect is based on a difference …

This paper analyzes the effects of the financial crisis on credit supply by using highly detailed data on bank …-firm relationships in Italy after Lehman’s collapse. We control for firms’ unobservable characteristics, such as credit demand and … borrowers’ risk, by exploiting multiple lending. We find evidence of a contraction of credit supply, associated to low bank …

influences the way banks react to GDP shocks. Again, the credit supply of well-capitalized banks is less pro-cyclical. The …

smooth the effects of a tightening on credit supplied. Banks� liquidity is the most significant factor enabling them to …

literature, interest rates on short-term lending of liquid and well-capitalized banks react less to changes in money market rates …