Periods of banking distress are often followed by sizable and long-lasting contractions in bank credit. They may be … capital-constrained banks, a ""credit crunch"". This paper develops a bank model to study credit crunches and their real … disruptions in the supply of credit when hit by small shocks. However, for larger shocks, highly persistent credit cr …

'buffer stock' model of optimal consumption in the presence of labor income uncertainty and credit constraints. Saving in the … model is affected by the gap between 'target' and actual wealth, with the target wealth determined by credit conditions and … uncertainty. An estimated structural version of the model suggests that increased credit availability accounts for …

Although Bosnia and Herzegovina (BiH) has experienced rapid growth in credit to households in recent years, most … individuals are still credit constrained. This paper analyzes the determinants of household credit demand and credit constraints … credit market participation, while high income and high wealth lower credit constraints. In BiH, the probability of credit …

procyclicality of bank credit dynamics to the private sector and contain systemic risk. Reserve requirements, in particular, have … new cross-country evidence on how they influence real private bank credit growth. Our results show that …

We study the characteristics of credit booms in emerging and industrial economies. Macro data show a systematic … relationship between credit booms and economic expansions, rising asset prices, real appreciations and widening external deficits …. Micro data show a strong association between credit booms and leverage ratios, firm values, and banking fragility. We also …