reliant on bank credit. The credit channel theory states that, for small enterprises, a stricter monetary policy stance …-Saxon countries -have been discussing the credit channel approach, which embraces the credit supply as weIl as the interest rate … results in a higher cost of borrowed funds than for larger enterprises or even in credit rationing. The result is that this …

heavily reliant on bank credit. The credit channel theory states that, for small enterprises, a stricter monetary policy …-Saxon countries -have been discussing the credit channel approach, which embraces the credit suppIy as well as the interest rate … stance results in a higher cost of borrowed funds than for larger enterprises or even in credit rationing. The result is that …

hikes, while small constrained firms tend to issue more equity. This causes credit to be reallocated from constrained …

find that: bond finance dampens the overall response of firm credit to monetary policy shocks in economies with a high …

that well-functioning credit markets would reflect a bank channel for monetary policy at work, we test whether a change in … and the associated change in interest rate does not affect change in bank credit, change in total debt and the proportion … of bank credit in total debt for any of the firms. We discuss the policy implications of the findings. …