with a higher probability of granting loans to risky borrowers and a greater riskiness of credit allocation, but these …

residuals of the policy rule equation at these shock dates accordingly. In spite of its utmost agnostic nature, this approach …

output) shortly after a monetary policy shock. To overcome this problem, we propose to estimate the VAR parameters under the … restriction that economic theory is not violated, while the shocks are still recursively identified. We solve this optimization … “almost recursively identified approach with parameter restrictions” leads to a solution that avoids an estimation bias …

shock. Our estimated model uncovers a central role for investment in the transmission mechanism of monetary policy, as high …

The amount of credit in the economy is a heterogeneous aggregate that can be analyzed across different dimensions …. Considering such dimensions provides insights into the effect of monetary policy interventions because the credit components are …

We explore the intertwined dynamics of asset prices and the macroeconomy in a Behavioural model of Credit Cycles (BCC …) characterized by a credit friction à la Kiyotaki and Moore and heterogeneous expectations cum heuristic switching à la Brock and … defaults, following a positive productivity shock, our behavioural model (BCC Mark I) generates hump-shaped impulse …