Private Debt and GDP: A Short-Run Perspective

Gianluca Cafiso

No 6201, CESifo Working Paper Series from CESifo

Abstract: Mainstream economic research regards private debt as a determinant of GDP growth in the longrun. Levine (2005) surveys in details this branch of literature and explains the channels by which debt fuels growth. In this paper we switch the focus from the long to the short-run and study whether private debt has a significant impact on GDP growth in the short-run too. Our aim is to understand whether policy measures aimed to reduce the cost of private debt may favor a quick increase of the economic activity.

Keywords: private debt; GDP; short-run; VAR (search for similar items in EconPapers)
JEL-codes: E44 O11 O16 O51 O52 (search for similar items in EconPapers)
Date: 2016
References: Add references at CitEc
Citations:

Downloads: (external link)
https://www.cesifo.org/DocDL/cesifo1_wp6201.pdf (application/pdf)

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:ces:ceswps:_6201

Access Statistics for this paper

More papers in CESifo Working Paper Series from CESifo Contact information at EDIRC.
Bibliographic data for series maintained by Klaus Wohlrabe ().