We analyze the contribution of credit spread, house and stock price shocks to GDP growth in the US based on a Bayesian …

business credit further expansion slows rather than boosts growth. Causality from more credit to slower growth is supported by … exogenous variation in financial size. The empirical analyses point to five factors that link more credit to slower growth: i …) excessive financial deregulation, ii) a more pronounced increase in credit issuance by banks than other intermediaries, iii) too …

business credit further expansion slows rather than boosts growth. Causality from more credit to slower growth is supported by … exogenous variation in financial size. The empirical analyses point to five factors that link more credit to slower growth: i …) excessive financial deregulation, ii) a more pronounced increase in credit issuance by banks than other intermediaries, iii) too …