This paper studies the role of credit in the business cycle, with a focus on private credit overhang. Based on a study …; and for both types of recession, more credit-intensive expansions tend to be followed by deeper recessions and slower … controls and their lags. Then we study how past credit accumulation impacts the behavior of not only output but also other key …

domestic credit expansion and real currency appreciation have been the most robust and significant predictors of financial …

corporate credit risk relative to the US, and when european firms value more than US firms the flexibility and information …

aggregate data. Changes in household credit limits explain 40% of the differential rise and fall of employment across states … gradual, credit shocks greatly slowed the recovery …

What are the stylized facts that characterize the dynamics of credit booms and the associated fluctuations in macro … credit booms to data for 61 emerging and industrial countries over the 1960-2010 period. We identify 70 credit boom events …, half of them in each group of countries. Event analysis shows a systematic relationship between credit booms and a boom …