01756cas a2200241 a 4500 AALejournalIMF007744 230101c9999 xx r poo 0 0eng d 5.00 USD 9781451855692 1018-5941 BD-DhAAL BD-DhAAL Munoz, Sonia. The Breakdown of Credit Relations Under Conditions of a Banking Crisis : A Switching Regime Approach / Sonia Munoz. Washington, D.C. : International Monetary Fund, 2000. 1 online resource (24 pages) IMF Working Papers <strong>Off-Campus Access:</strong> No User ID or Password Required <strong>On-Campus Access:</strong> No User ID or Password Required Electronic access restricted to authorized BRAC University faculty, staff and students This paper empirically analyzes the effects of a banking crisis on bank credit to the private sector for a panel of developing, developed, and transition economies for the period 1970-1998. The model illustrates how the behavior of the bank credit function changes during a banking crisis, reflecting a generalized disruption in the stability of behavioral parameters. Usual links such as interest rate signaling for lending, and synergy between deposits and loans, fall apart. Moreover, this study gives support to Third Generation Models in their ability to predict banking crises. Based on the empirical findings, the paper then provides policy implications for monetary policy. Mode of access: Internet IMF Working Papers; Working Paper ; No. 2000/135 Full text available on IMF http://elibrary.imf.org/view/journals/001/2000/135/001.2000.issue-135-en.xml IMF e-Library