The recent financial crisis has put the spotlight on the rapid rise in credit which preceded it. In this paper, we … provide an empirical and theoretical analysis of the credit boom and the macroeconomic context in which it developed. We find … economies in which it took place. We show that this type of credit and financial cycle is hard to reconcile with existing …

the viewwith Posen (1998) that the major economic problems of Japan during the 1990s arose due to policymaking mistakes …

-based filters. We identify the financial cycle with the medium-term component in the joint fluctuations of credit and property …

developing a better understanding of credit and its mechanisms. A rapidly growing strand of the literature views banks as facing …. This work explores the way banks in Colombia manage their balance sheet and sheds light into the dynamics of credit and …

in a debtor-creditor partnership. The credit market is seen from the perspective of principal-agent theory and the …

Default probabilities and recovery rate densities are not constant over the credit cycle; yet many models assume that … they are. This paper proposes and estimates a model in which these two variables depend on an unobserved credit cycle … static approach. The model indicates that ignoring the dynamic nature of credit risk could lead to a severe underestimation …

This paper studies the interaction between the business cycle and the credit market. A first result is that the … business cycle has procyclical effects on different types of credit (i.e., consumer, commercial and mortgage loans). The … then, a decline in credit. We interpret this phenomenon as excessive risk-taking. Similarly, periods of economic …

credit losses rise when the cycle falls, but less so when net income of banks is relatively high, which reduces …

credit losses rise when the cycle falls, but less so when net income of banks is relatively high, which reduces …