is then modified to include a collateral constrained consumer. We show that collateral constraints may affect the level …

collateral good more highly than does the lender; otherwise the optimal contract does not resemble debt. Limited collateral can …

paid. The second good thus serves as collateral, and is essential in nontrivial contracts in order to satisfy incentive … absolute risk aversion of the borrower is nonincreasing. The amount of the collateral good available to the borrower can …

This paper documents the role of the collateral lending channel to facilitate small business starts and self … startup capital and can thus more easily be financed out of increases in housing as collateral; (2) manufacturing industries …

We exploit a 2004 credit reform in Brazil that simplified the sale of repossessed cars used as collateral for auto … of a credit reform, highlighting the crucial role that collateral and repossession play in the liberalization and …

nominal interest rate), in a general-equilibrium model of asset pricing and risk sharing with endogenous collateral … constraints of the kind proposed by Geanakoplos (1997). The existence of collateral constraints allows our model to capture the …-bank purchases raise the price of the asset, owing to binding collateral constraints, the effects need not be the ones commonly …