Demir, Banu; Michalski, Tomasz; Örs, Evren - 2014
We provide the first evidence that changes in risk-based capital requirements for banks affect the real economy through … July 1, 2012 – we investigate the impact of new risk-weights applied to commercial letters of credit (CLC) on that country … -1 while the overall trade elasticity to be between -0.032 and -0.179. Calculations suggest that both CLC-related bank …