EconPapers    
Economics at your fingertips  
 

Macroprudential Policy and Credit Supply

Jose-Luis Peydro ()

Swiss Journal of Economics and Statistics (SJES), 2016, vol. 152, issue IV, 305-318

Abstract: In this paper we analyze financial crises, and the interactions of macroprudential policy and credit. Financial crises are recurrent systemic phenomena, often-triggering deep and long-lasting recessions with large reductions in aggregate welfare, output and employment. Importantly for policy, systemic financial crises are typically not random events triggered by exogenous events, but they tend to occur after periods of rapid, strong credit growth. Moreover, a credit crunch tends to follow in a financial crisis with negative aggregate real effects. Macroprudential policy softens the credit supply cycles, with important positive effects on the aggregate real economy in crisis times.

Keywords: financial crises; macroprudential policy; credit supply; risk-taking; capital; liquidity (search for similar items in EconPapers)
JEL-codes: E58 G01 G21 G28 (search for similar items in EconPapers)
Date: 2016
References: Add references at CitEc
Citations: View citations in EconPapers (1) Track citations by RSS feed

There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it.

Related works:
Journal Article: Macroprudential Policy and Credit Supply (2016) Downloads
Working Paper: Macroprudential policy and credit supply (2016) 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: https://EconPapers.repec.org/RePEc:ses:arsjes:2016-iv-2

Access Statistics for this article

Swiss Journal of Economics and Statistics (SJES) is currently edited by Rafael Lalive

More articles in Swiss Journal of Economics and Statistics (SJES) from Swiss Society of Economics and Statistics (SSES) Contact information at EDIRC.
Bibliographic data for series maintained by Peter Steiner ().

 
Page updated 2020-04-28
Handle: RePEc:ses:arsjes:2016-iv-2