Standard economic theory says that unsecured, high-interest, short-term debt — such as borrowing via credit cards and … income shock of unemployment. Instead, individuals smooth their credit card debt and overdrafts by adjusting consumption. We … first use detailed longitudinal information on debit and credit card transactions, account balances, and credit lines from a …

the importance of equilibrium credit quality inference from borrowers' endogenous sign-up decisions. When data sharing …

Credit market freezes in which debt issuance declines dramatically and market liquidity evaporates are typically … observed during financial crises. In the financial crisis of 2008-09, the structured credit market froze, issuance of corporate … bonds declined, and secondary credit markets became highly illiquid. In this paper we analyze liquidity in bond markets …

This paper develops a model of a self-fulfilling credit market freeze and uses it to study alternative governmental … ability of other operating firms to obtain financing. In such an economy, an inefficient credit market freeze may arise in … getting an economy out of an inefficient credit market freeze. In particular, we study the effectiveness of interest rate cuts …

the financial health of the contracting parties and uncertainty regarding the borrowers' credit quality. The relative …

We show that stricter bank liquidity standards can trigger unintended credit booms when there is heterogeneity in … strategic responses that also change the allocation of lending across markets. More credit is generated per unit of savings in …

used during a credit boom to reduce the expected costs of a financial crisis …

justification for this pattern based on adverse selection that entrepreneurs face in credit markets. Individuals choose between …-subsidization in the credit market equilibrium results in excessive (insufficient) entry of low-skilled (high-skilled) agents into …

discounted more heavily by lenders, compared to firms which have credit histories (but are otherwise identical), and that this … reputation effect in debt prices is confirmed: the debt of new banks is discounted more heavily than banks with credit histories …

We evaluate the impact of the credit conditions facing corporations on their emissions of toxic air pollutants … that positive shocks to credit conditions reduce corporate pollution …