Author: Timothy P. BiancoPublisher:
ISBN:
Category :
Languages : en
Pages : 135
Book Description
Three Essays on Credit Markets and the Macroeconomy
Author: Timothy P. BiancoEssays on Credit Markets and the Macroeconomy
Author: Stefano William GiglioThree Essays in Monetary Economics
Author: Qiao ZhangPublisher:
ISBN:
Category :
Languages : en
Pages : 0
Book Description
In this dissertation, my research aims at dwelling on the questions, at understanding and explaining -- as a follow of current strand of literature on financial frictions -- the mechanisms that allowed the imperfect and perfect credit intermediation to affect the dynamics of economy and the transmission of monetary policy, and providing a new theoretical formulation for evaluating the unconventional monetary policy. To do this, I first considered the impact of financial intermediation on the analysis of central bank transparency issue (Chapter 2). ln Chapter 3, I focused on the role played by the imperfect financial intermediation/financial frictions in the transmission of shocks : through which mechanisms, do the presence of balance-sheet constraint financial intermediaries affect the effect of shocks on the macroeconomy? Finally, in Chapter 4, 1 construct an theoreticalmodel to analyze an important issue which have net been carried out in existing literature: the transmission mechanism of the central bank's large-scale purchase of mortgage-backed securities. ln this chapter, I first simulated a financial crisis to see if the model is able to replicate some of the most important stylized facts of the Great Recession. Then, basing on the simulated crisis, I examine the efficacy and transmission mechanism of large scale purchases of MBS through comparing these purchases to the purchases of corporate bonds. This experiment is conducted in two credit market configurations, i.e., a partially and a totally segmented credit market. The latter case of market condition is considered by many economists as main obstacle that impedes the nominal functioning of the financial markets. ln this work, we have obtained rich and important findings for guiding the use of unconventional monetary policy. The following parts briefly present the findinqs of the thesis.
Three Essays on International Finance and Macroeconomics
Author: Hiroyuki ItoEssays on macroeconomic effects of credit market fluctuations
Author: Jagdish TripathyPublisher:
ISBN:
Category :
Languages : ca
Pages : 114
Book Description
This dissertation includes three chapters on the macroeconomic effects of the financial system, particularly the credit market. In the first chapter, I show a causal link between household credit supply and economic activity using an exogenous shock to household credit supply by Spanish banks in Mexico resulting from macroprudential regulations in Spain. I use the variation in exposure to this shock across Mexican municipalities as a natural experiment and measure the elasticity of lending to the non-tradable sector to changes in household credit ranging from 1.6-3.5. In the second chapter, I show that the Spanish regulations did not affect lending to Mexican firms by Spanish banks. I use firm-level data to show that firms with multiple bank relationships did not experience a change in loan-terms (in levels and interest rates) of marginal credit offered by Spanish banks vis-a-vis the terms offered by non-Spanish banks. I write a theoretical model that accounts for the asymmetric effect of the Spanish regulations on lending to firms and households based on the relationship rents earned by banks depending upon the proprietary information held by them on a given borrower. In the third chapter, I study the effect of asset bubbles in the presence of financial frictions and heterogeneous projects. I consider an economy with two sectors - a productive, financially constrained sector and an unproductive sector with lower levels of financial constraints. Financial constraints create conditions for the existence of asset bubbles. Asset bubbles, in turn, raise interest rates and lower investment productivity by directing financial resources away from the financially constrained, productive sector to the less constrained, unproductive sector. Such bubbles guide the economy to steady states with low levels of consumption that I call bubbly growth traps.
Three Essays on Macroeconomic and International Finance Issues
Author: Unja ChaeThree Essays in Macroeconomics
Author: Jeffrey Malcolm LackerPublisher:
ISBN:
Category : Macroeconomics
Languages : en
Pages : 408
Book Description
Three Essays in Macroeconomic History
Author: J. W. MasonPublisher:
ISBN:
Category :
Languages : en
Pages : 197
Book Description
Following Minsky, an economy can be understood as a set of units linked to each other by flows of money payments and by the commitments to future payments reflected on balance sheets. This dissertation offers three accounts of the historical evolution of the US economy, conceived of a network of balance sheets, over the course of 20th and early 21st century. The first essay looks at changes in the pattern of payment flows between nonfinancial corporations and financial markets associated with the ``shareholder revolution" of the 1980s. It argues that the shift in payouts to shareholders from a quasi-fixed stream of dividends to a claim on every dollar actually or potentially available to the firm, has had important effects on the behavior of aggregate investment; in particular, it has weakened the link between corporate investment, on the one hand, and earnings and credit conditions, on the other. The second essay looks at household debt. It argues that that the evolution of household debt-income ratios must be understood as a monetary phenomenon and not merely the reflection of developments in ``real" expenditure and income. Decomposing the changes in household debt since 1929 using an appropriate accounting framework shows that changes in household behavior account for only a small part of the trajectory of household leverage over the past 80 years. The third essay applies this same broad perspective to the historical evolution of interest rate spreads. It argues that from a Keynesian perspective that regards interest as fundamentally the price of liquidity, there is no conceptual basis for picking out the difference in yield between money and a short-term government bond as``the" interest rate; there are many other pairs of asset yields the difference between which is determined on the same principles, and may have equal macroeconomic significance. This perspective helps make sense of the increasing gap between the policy rate and the interest rates facing most private borrowers.
Essays on Incomplete Financial Markets and the Macroeconomy
Author: Zhiyi WeiPublisher:
ISBN:
Category : Bank loans
Languages : en
Pages : 150
Book Description
Credit, Investments and the Macroeconomy
Author: Marco MazzoliPublisher: Cambridge University Press
ISBN: 0521584116
Category : Business & Economics
Languages : en
Pages : 231
Book Description
This book relates the literatures of finance, industrial economics and investment to the theoretical framework of the 'credit view'. Firstly it is assumed that banks' decisions concerning their assets are seen as at least as relevant as their decisions concerning their liabilities. Secondly, securities and bank credit are considered to be highly imperfect substitutes. In this regard it is important to investigate the way industrial and financial sectors interact. In particular, how is the macroeconomy affected by the phenomenon of 'securitization' and by exogenous changes in the industrial structure of the credit market. The interactions between real and financial sectors are also analysed from the point of view of the industrial firm, in a model where the investment and financial decisions of the firm are taken simultaneously.