Bank Lending and Interest Rate Changes in a Dynamic Matching Model /
This paper presents theory and evidence on the dynamic relationship between aggregate bank lending and interest rate changes. Theoretically, it proposes and solves a stochastic matching model where credit expansion and contraction are time consuming. It shows that the response of bank lending to cha...
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| Tác giả khác: | |
| Định dạng: | Tạp chí |
| Ngôn ngữ: | English |
| Được phát hành: |
Washington, D.C. :
International Monetary Fund,
1998.
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| Loạt: | IMF Working Papers; Working Paper ;
No. 1998/093 |
| Truy cập trực tuyến: | Full text available on IMF |
| Tóm tắt: | This paper presents theory and evidence on the dynamic relationship between aggregate bank lending and interest rate changes. Theoretically, it proposes and solves a stochastic matching model where credit expansion and contraction are time consuming. It shows that the response of bank lending to changes in money market rates is likely to be asymmetric and depends crucially on two structural parameters: the speed at which new loans become available, and the speed at which banks recall existing loans. Empirically, it provides evidence that bank lending in Mexico and the United States responds asymmetrically to positive and negative shocks in money market rates. |
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| Mô tả sách: | <strong>Off-Campus Access:</strong> No User ID or Password Required <strong>On-Campus Access:</strong> No User ID or Password Required |
| Mô tả vật lý: | 1 online resource (46 pages) |
| Định dạng: | Mode of access: Internet |
| số ISSN: | 1018-5941 |
| Truy cập: | Electronic access restricted to authorized BRAC University faculty, staff and students |