Credit channels in Europe: a cross-country investigation
DOI:
https://doi.org/10.13133/2037-3643/10926Keywords:
Economic research, credit channels, monetary transmission mechanismAbstract
The work provides an economic analysis of the monetary transmission mechanism in Europe. The author reviews the literature on the money and credit view before describing cross-country differences in credit channel indicators and examining the existence of credit channels by distinguishing between households and firms. The relative importance of a bank lending and balance sheet channel is discussed by assessing impulse response functions from a vector error correction model.
JEL Codes: E51
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