ANGELINI, PAOLO; NERI, STEFANO; PANETTA, FABIO - In: Journal of Money, Credit and Banking 46 (2014) 6, pp. 1073-1112
The interaction between capital requirements and monetary policy is assessed by means of simple rules in a dynamic general equilibrium model featuring a banking sector. In “normal” times, when economic dynamics are driven by supply shocks, an active use of capital requirements generates...