Drivers of Bank Supply of Business Loans

Andrew Castro, David Glancy and Felicia Ionescu ()

No 2022-02-22, FEDS Notes from Board of Governors of the Federal Reserve System (U.S.)

Abstract: Numerous studies show that tightening loan supply may significantly affect credit outcomes, including declines in total lending capacity and changes in loan terms (see for example, Bassett et al. (2014), Castro et al. (2022), Lown and Morgan (2006)). Moreover, research has linked these supply-driven declines in credit to negative effects on economic outcomes, including employment or output (see Alfaro et al. (2021) or Herheknhoff (2019)).

Date: 2022-02-22
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Persistent link: https://EconPapers.repec.org/RePEc:fip:fedgfn:2022-02-22

DOI: 10.17016/2380-7172.3059

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