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This paper investigates the risk channel of monetary policy on the asset side of banks' balance sheets. We use a factoraugmented vector autoregression (FAVAR) model to show that aggregate lending standards of U.S. banks, such as their collateral requirements for firms, are significantly loosened...
Persistent link: https://www.econbiz.de/10010422940
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This paper investigates the risk channel of monetary policy on the asset side of banks' balance sheets. We use a factoraugmented vector autoregression (FAVAR) model to show that aggregate lending standards of U.S. banks, such as their collateral requirements for firms, are significantly loosened...
Persistent link: https://www.econbiz.de/10010432276
Persistent link: https://www.econbiz.de/10009614469
Persistent link: https://www.econbiz.de/10002900211
Persistent link: https://www.econbiz.de/10001657434
This paper examines the secondary market for loan sales and, in particular, loan contract design as a mechanism to resolve informational issues in loan sales and associated costs and benefits. Using loan-level data, we find that sold loans contain additional covenants and more restrictive net...
Persistent link: https://www.econbiz.de/10013152459
Debt Obligations (CDOs), CDO-squared and CDO-cubed, as well as with derivatives, such as synthetic CDOs and Credit Default … could distort a lender's credit monitoring functions, but concludes that they are currently ignored in the ratings analysis …
Persistent link: https://www.econbiz.de/10012835127
The consensus that changes in the supply of credit were irrelevant to making monetary policy decisions existed among … supply of credit, however, played an important role in the recent U.S. financial crisis. This paper explores the extent to … which policymakers should consider changes in the supply of credit when making forecasts and monetary policy decisions. More …
Persistent link: https://www.econbiz.de/10012904696