EconPapers    
Economics at your fingertips  
 

High yield spreads, real economic activity, and the financial accelerator

Pierangelo De Pace () and Kyle D. Weber

Economics Letters, 2013, vol. 121, issue 3, 346-355

Abstract: We study the leading properties of 30 US high yield spreads for economic growth between 1996 and 2012 and show that they disappeared in the second half of the 2000s. Our empirical findings demonstrate the unreliability of high yield spreads as leading indicators and cast doubts on the existence of a strong and functioning financial accelerator in recent years.

Keywords: High yield spreads; Leading properties; Financial accelerator (search for similar items in EconPapers)
JEL-codes: C22 E43 E44 (search for similar items in EconPapers)
Date: 2013
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (9) Track citations by RSS feed

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S016517651300400X
Full text for ScienceDirect subscribers only

Related works:
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:eee:ecolet:v:121:y:2013:i:3:p:346-355

DOI: 10.1016/j.econlet.2013.08.027

Access Statistics for this article

Economics Letters is currently edited by Economics Letters Editorial Office

More articles in Economics Letters from Elsevier
Bibliographic data for series maintained by Dana Niculescu ().

 
Page updated 2020-02-26
Handle: RePEc:eee:ecolet:v:121:y:2013:i:3:p:346-355