, and past shocks to credit are found to be important for credit growth. Over longer horizons, shocks to output, inflation … credit shock results in higher inflation for about two years, but it would be higher still over this period in the absence of …Credit is an important macroeconomic variable that helps to drive economic activity and is also dependent on economic …

Historical experience shows that disruptions in credit markets can have a material impact on activity and inflation …. However, it is hard to measure such effects owing to the difficulty in isolating credit supply shocks. This paper employs … survey data to identify the impact of credit supply shocks in Australia over the past three decades, using a structural …

information about inflation expectations – that survey measures of expectations are inconsistent with rational expectations, but … less so for financial markets than households; that actual and expected inflation interact with each other; and that the … foreign exchange market anticipates tighter monetary policy when inflation is higher than expected. The second half of the …