This paper examines how the materialization of credit defaults affects the real economy. I estimate a DSGE model … including banks, firms and financial frictions using euro area data. The estimation results show that a positive credit default … shock, which is identified as an unanticipated increase in credit default losses, complicates monetary policy because output …

The Kenyan credit market is characterised by imperfections that manifest themselves in imbalances in the form of credit … gaps where supply deviates from its long-run trend. This paper extends the analysis of the credit market adjustment process … that closes the credit gap by estimating a Seemingly Unrelated regression (SUR) model. The empirical results show that the …

beyond other better-known early warning indicators, such as credit booms. This predictive power, however, only holds in … the short-term popularity benefits of weak credit booms rather than implementing politically costly corrective policies …

, we offer new empirical evidence that credit declines during a recession primarily because of the reduction in the net … the bank credit market). Along the macroeconomic dimension of these gross flows, we document four cyclical facts. First …, the volatility of borrower inflows is two times as large as the volatility of obligors exiting from the credit market …

The amount of credit in the economy is a heterogeneous aggregate that can be analyzed across different dimensions …. Considering such dimensions provides insights into the effect of monetary policy interventions because the credit components are …

credit register from Spain, with the time of a loan application and its granting. When VIX is lower (booms), banks shorten …

This paper studies the relation between the credit-to-GDP ratio and macroeconomic trends. We estimate a long run … equation on a sample of EU countries; our findings suggest that the macroeconomic factors with which the credit ratio … past and future trends. First, we study the evolution of the credit ratio in the past. We find that most of the increase …

Empirical credit demand analysis undertaken at the aggregate level obscures potential behavioral heterogeneity between … sectors and the credit cycle with respect to interest rates, output and house prices. The results motivate sector …