Standard models used for monetary policy analysis rely on sticky prices. Recently, the literature started to explore also nominal debt contracts. Focusing on mortgages, this paper compares the two channels of transmission within a common framework. The sticky price channel is dominant when...

This paper analyzes the ability of unconventional monetary policies to reduce the spread between the credit and the short-term policy interest rates. We provide a theoretical framework based on the bank-lending channel that incorporates an interbank money market. The proposed model shows that...