Credit Supply, Firms, and Earnings Inequality

Christian Moser, Farzad Saidi, Benjamin Wirth and Stefanie Wolter

No 35224, NBER Working Papers from National Bureau of Economic Research, Inc

Abstract: We study the distributional consequences of monetary policy-induced credit supply in the German labor market. Firms in relationships with banks that are more exposed to the introduction of negative interest rates in 2014 experience a relative contraction in credit supply, associated with lower average wages. Within firms, initially lower-paid workers are more likely to leave employment, while initially higher-paid workers see a relative decline in wages. Between firms, wages fall by more at initially higher-paying employers. Our results suggest that credit affects the distribution of wages and employment both within and between firms.

JEL-codes: E24 E51 J23 J31 (search for similar items in EconPapers)
Date: 2026-05
Note: EFG LS ME
References: Add references at CitEc
Citations:

Downloads: (external link)
http://www.nber.org/papers/w35224.pdf (application/pdf)
Access to the full text is generally limited to series subscribers, however if the top level domain of the client browser is in a developing country or transition economy free access is provided. More information about subscriptions and free access is available at http://www.nber.org/wwphelp.html. Free access is also available to older working papers.

Related works:
Working Paper: Credit Supply, Firms, and Earnings Inequality (2026)
Working Paper: Credit Supply, Firms, and Earnings Inequality (2026)
Working Paper: Credit Supply, Firms, and Earnings Inequality (2026)
Working Paper: Credit Supply, Firms, and Earnings Inequality (2024)
Working Paper: Credit Supply, Firms, and Earnings Inequality (2022)
Working Paper: Credit Supply, Firms, and Earnings Inequality (2021)
Working Paper: Credit Supply, Firms, and Earnings Inequality (2020)
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:nbr:nberwo:35224

Ordering information: This working paper can be ordered from
http://www.nber.org/papers/w35224
The price is Paper copy available by mail.

Access Statistics for this paper

More papers in NBER Working Papers from National Bureau of Economic Research, Inc National Bureau of Economic Research, 1050 Massachusetts Avenue Cambridge, MA 02138, U.S.A.. Contact information at EDIRC.
Bibliographic data for series maintained by ().