This paper provides new evidence on the behaviour of euro area aggregate loans to the private sector. Using a sample … covering the last twenty years, a cointegrating vector linking the real stock of loans to a small set of domestic macroeconomic … variables is found. Besides real GDP and prices, this set includes a new measure of the cost of loans obtained as a weighted …

We analyze persistence in patterns of bilateral financial investment using data on US investors’ holdings of foreign … today. 10 to 15% of the cross-country variation in US investors’ foreign bond holdings is explained by holdings 70 years ago … other than the dollar, suggesting the existence of even higher fixed costs of initiating US foreign investment in currencies …