times of high uncertainty, firms reduce their credit demand due to delayed investments or a deterioration in their credit … worthiness, while at the same time banks are more exposed to negative shocks to their balance sheet and thereby reduce credit … supply. To isolate the uncertainty effect from the credit supply effect, we employ matched bank-firm loan data covering all …

's constrained credit status changes with the improvement of its efficiency. The results further reveal that financially constrained …

their own business, and that they are more likely to default on their debt. Banks are more likely to deny credit to firms in … theoretical prediction that banks' collateral provision reduces the efficiency of the credit market when the corporate sector is …

repay the debt at the end of the period. Thus intermediated short-term credit is a solution to the monetary friction. Second …

Using novel data on 1,240 credit agreements, we investigate sources of contractual complexity in the leveraged loan …