Business cycles imply liquidity risks for banks. This paper explores how these risks influence bank lending over the … cycle. With forward-looking banks, lending cycles, credit booms and busts, or suppressed and highly fragile bank systems can … unpleasant effects on bank lending. Imposing countercyclical capital adequacy ratio may amplify procyclicality or result in …

governments are heavily concerned about the tax revenue losses arising from bank failures, strict capital requirements are imposed …

equilibrium model, and show that - consistent with our empirical finding - a monetary easing implies an expansion of bank lending …

The ex ante theory of collateral states that better informed lenders, such as informal lenders, rely less on collateral …

quantity and the composition of bank lending. We find that credit supplied by banks that introduced the model-based approach …

-specific profitability shocks, they will adjust interest rates for all borrowers. We test the influence of individual and bank specific data … on lending rate using individual data for firm-bank relationships in Germany between 2005 and 2007. We provide the …