This paper tests for the presence of a credit channel (particularly a bank-lending sub-channel) for monetary policy in the housing market.We argue that the importance of this channel for investment in residential housing is highly dependent on the structural features, and particularly the...

This paper studies the impact of geographic banking restrictions on monetary policy transmission. Exploiting the staggered deregulation of U.S. banking from the late 1970s to the early 1990s, we find that interstate deregulation signifi cantly increased the responsiveness of bank lending to...

What are the long-run aggregate effects of monetary shocks displaying throughthe credit channel of monetary policy? We address this question by investigatingthe transmission mechanism and estimating the dynamic behaviour of variablesrelated to credit and innovation. Then, we develop a DSGE model...