crisis, and of the provision of central bank liquidity during the crisis. Exploiting the euro area institutional setting for … monetary and prudential policy and using the Bank Lending Survey, we show that in the period prior to the crisis, in an … policies on either bank capital or loan-to-value ratios. After the start of the 2008 crisis, we find that low monetary rates …

We show that countercyclical liquidity policy smooths credit supply cycles, with stronger crisis effects. For … crunch in bad times and high credit supply in booms. Strong economic effects are twice as large during the crisis easing than …

. In crisis times, with higher ECB liquidity, less capitalized banks react by increasing securities over credit supply …, inducing worse firm-level real effects. However, they buy securities with lower yields and haircuts. Differently, in pre-crisis … time, securities do not crowd-out credit supply. The substitution from lending to securities in crisis times helps less …

crisis, and of the provision of central bank liquidity during the crisis. Exploiting the euro area institutional setting for … monetary and prudential policy and using the Bank Lending Survey, we show that in the period prior to the crisis, in an … policies on either bank capital or loan-to-value ratios. After the start of the 2008 crisis, we find that low monetary rates …

We show that U-shaped monetary policy rate dynamics are strongly associated with financial crisis risk. This finding …, administrative data covering the post-1995 period in Spain. In the macro data, we find that pre-crisis monetary policy follows a U … shape, with policy rates first cut and then increased over the 7 years before the onset of the crisis. This U shape holds …

cycles. Finally, we discuss the implications for the 2007/2009 financial and economic crisis. …

cycles. Finally, we discuss the implications for the 2007/2009 financial and economic crisis. …