In U.S. data 1981–2012, unsecured firm credit moves procyclically and tends to lead GDP, while secured firm credit is … acyclical; similarly, shocks to unsecured firm credit explain a far larger fraction of output fluctuations than shocks to … secured credit. In this paper we develop a tractable dynamic general equilibrium model in which unsecured firm credit arises …

In U.S. data 1981–2012, unsecured firm credit moves procyclically and tends to lead GDP, while secured firm credit is … acyclical; similarly, shocks to unsecured firm credit explain a far larger fraction of output fluctuations than shocks to … secured credit. In this paper we develop a tractable dynamic general equilibrium model in which unsecured firm credit arises …

This paper argues that self-fulfilling beliefs in credit conditions can generate endogenously persistent business cycle … shocks. Capital from less productive firms is lent to more productive ones in the form of credit secured by collateral and … also as unsecured credit based on reputation. A dynamic complementarity between current and future credit constraints …

This article argues that consumer credit reports can create two sorts of vicious cycles, which can contribute to to … cycles of poverty and deepen race-based disenfranchisement. The first takes place in credit markets themselves. Even on a … neoclassical model of credit reporting, credit reports can amplify past problems with debt, most of which are brought on by …