EconPapers    
Economics at your fingertips  
 

The role of uncertainty in the transmission of monetary policy effects on bank lending

Christopher F Baum (), Mustafa Caglayan () and Neslihan Ozkan

No 561, Boston College Working Papers in Economics from Boston College Department of Economics

Abstract: In this paper we re-examine commercial banks' lending behavior taking into account changes in the stance of monetary policy in conjunction with changes in financial sector uncertainty. Using a very large data set covering all banks in the US between 1986-2000, we show that financial uncertainty has an important and significant role in the monetary policy transmission mechanism that varies across bank categories and the strength of banks' balance sheets. We find support for the existence of a bank lending channel among US banks.

Keywords: banks; lending; monetary policy; financial uncertainty; liquidity constraints (search for similar items in EconPapers)
JEL-codes: E44 E52 G32 (search for similar items in EconPapers)
Date: 2003-06-06, Revised 2008-04-28
References: View references in EconPapers View complete reference list from CitEc
Citations View citations in EconPapers (1) Track citations by RSS feed

Published, Manchester School, 81:2, 202-225, 2013

Downloads: (external link)
http://fmwww.bc.edu/EC-P/wp561.pdf main text (application/pdf)

Related works:
Journal Article: THE ROLE OF UNCERTAINTY IN THE TRANSMISSION OF MONETARY POLICY EFFECTS ON BANK LENDING (2013) Downloads
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: http://EconPapers.repec.org/RePEc:boc:bocoec:561

Access Statistics for this paper

More papers in Boston College Working Papers in Economics from Boston College Department of Economics
Address: Boston College, 140 Commonwealth Avenue, Chestnut Hill MA 02467 USA
Contact information at EDIRC.
Series data maintained by Christopher F Baum ().

 
Page updated 2014-08-29
Handle: RePEc:boc:bocoec:561