-2009 output collapse. To this end, we use three variables: credit stock, credit flow and money supply M1. We find that the changes … in the credit flow, as percentage of GDP, are the most distinctly correlated with the GDP rate. During the growth … recovery, the credit flow tends to rise in six of the surveyed countries, although the credit stock declines in some cases. On …

This paper tests the existence of political credit cycles, the positive co-movement between credit and elections. While … support for this relationship has been found in some single-country studies, the link between electoral cycles and credit …-bank credit in 165 countries from 1960 to 2013, we show that both government and private credit significantly increase in election …

tends to be tightened when credit expands. The main empirical results from the analysis, which uses panel vector … autoregression models, are that contractionary macroprudential policy has significant negative effects on credit and output; and that … potential policy conflicts when credit conditions are excessive and the economy is in recession. …

We study how the macroeconomic dynamics following credit cycles vary with business bankruptcy institutions. Using data … on bankruptcy efficiency and business credit around the world, we document that business credit booms are followed by … contrary, in settings with well functioning business bankruptcy, the aftermath of credit booms is characterized by moderate …