We study how credit supply shocks in the US, the euro area and Japan are transmitted to other economies. We use the … effects on domestic and foreign GDP, compared to credit supply shocks from the euro area and Japan. Domestic and foreign … effect of reducing credit supply to the private sector. We find that negative US credit supply shocks have stronger negative …

We study how credit supply shocks in the US, the euro area and Japan are transmitted to other economies. We use the … effects on domestic and foreign GDP, compared to credit supply shocks from the euro area and Japan. Domestic and foreign … effect of reducing credit supply to the private sector. We find that negative US credit supply shocks have stronger negative …

-absorption effect (i.e., decrease in US imports owing to reduced domestic demand) or increase in world interest rate appears stronger …

of US interest rate is taken over by the global financial risk shock. Lastly, we find some evidence that macroeconomic …