Financial Accelerator Effects in the Balance Sheets of Czech Firms

Roman Horvath

No wp847, William Davidson Institute Working Papers Series from William Davidson Institute at the University of Michigan

Abstract: The paper examines a financial accelerator mechanism in analyzing determinants of corporate interest rates. Using a panel of the financial statements of 448 Czech firms from 1996–2002, we find that balance sheet indicators matter for the interest rates paid by firms. Market access is particularly important in this regard. The strength of corporate balance sheets seem to vary with firm size. There is also evidence that monetary policy has a stronger effect on smaller than on larger firms. On the other hand, we find no asymmetry in the monetary policy effects over the business cycle.

Keywords: balance sheet channel; financial accelerator; interest rates; monetary policy transmission (search for similar items in EconPapers)
JEL-codes: G11 G32 (search for similar items in EconPapers)
Pages: pages
Date: 2006-11-01
New Economics Papers: this item is included in nep-acc, nep-cba, nep-eec and nep-mon
References: Add references at CitEc
Citations: View citations in EconPapers (1)

Downloads: (external link)
http://www.wdi.umich.edu/files/Publications/WorkingPapers/wp847.pdf
Our link check indicates that this URL is bad, the error code is: 404 Not Found (http://www.wdi.umich.edu/files/Publications/WorkingPapers/wp847.pdf [302 Found]--> https://wdi.umich.edu/files/Publications/WorkingPapers/wp847.pdf)

Related works:
Working Paper: Financial Accelerator Effects in the Balance Sheets of Czech Firms (2006)
Working Paper: Financial Accelerator Effects in the Balance Sheets of Czech Firms (2005)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:wdi:papers:2006-847

Access Statistics for this paper

More papers in William Davidson Institute Working Papers Series from William Davidson Institute at the University of Michigan 724 E. University Ave, Wyly Hall 1st Flr, Ann Arbor MI 48109. Contact information at EDIRC.
Bibliographic data for series maintained by WDI ().