Brzoza-Brzezina, Michał; Kolasa, Marcin; Makarski, … - Centre pour la Recherche Économique et ses … - 2013
Occasionally binding credit constraints (OBC) have recently been explored as a promising way of modeling financial frictions. However, given their highly non-linear nature, most of the literature has concentrated on small models that can be solved using global methods. In this paper, we...