resources to debt collection. We develop a new theory of credit card lending that takes these two features into account. The two …In the data, most consumer defaults on unsecured credit are informal and the lending industry devotes significant …. We show that the model gives rise to a novel channel through which IT progress can affect outcomes in the credit markets …

We ask two questions related to how access to credit affects the nature of business cycles. First, does the standard … theory of unsecured credit account for the high volatility and procyclicality of credit and the high volatility and … that more households than normal fare very poorly). Second, does access to credit smooth aggregate consumption or aggregate …

This paper describes the Federal Reserve System’s monthly estimate of revolving consumer credit as published in the G … relies. In addition, it proposes a framework for analyzing the revolving credit statistic and suggests modifications to how … the estimate is calculated and presented. The paper concludes that the revolving credit estimate is highly accurate and …

The authors investigate the extent to which monetary policy can enhance the functioning of the private credit system …. Specifically, they characterize the optimal return on money in the presence of credit arrangements. There is a dual role for credit … traders have access to credit. As a result, there is a social role for fiat money because it allows agents to self …

problem ensures that the equilibrium is typically characterized by a standard financial accelerator; that is, the borrowing …

America’s small businesses have adopted credit cards as both a payment method and a borrowing vehicle. The segment also … with respect to credit cards. To obtain an update on these issues, the Payment Cards Center hosted a workshop facilitated … supply and demand conditions for small business credit cards. In addition to these positive post-recession observations …

poorly than Chapter 7 filers (after the filing) on all credit products (credit card debt, auto loans, and first mortgages …This paper uses a unique data set to shed new light on the credit availability and credit performance of consumer … observe changes in credit demand and supply explicitly, to differentiate existing and new credit accounts, and to observe the …

This paper examines the different effects of macroprudential policy and monetary policy on credit and inflation using a … simple New Keynesian model with credit. In this model, macroprudential policy is effective in stabilizing credit but has a … instrument to stabilize credit. The determinacy of the model requires the interest rate’s response to inflation to be greater …

Using a segmented market model that includes state-dependent asset market decisions along with access to credit, we … analyze the impact that transactions credit has on interest rates and prices. We find that the availability of credit …