Identifying the Macroeconomic Effect of Loan Supply Shocks

• Published in: Journal of money, credit and banking Vol. 35; no. 6; pp. 931 - 946
• Main Authors: Peek, Joe, Rosengren, Eric S., Geoffrey M. B. Tootell
• Format: Journal Article
• Language: English
• Published: Columbus Ohio State University Press 01.12.2003; The Ohio State University Press; John Wiley & Sons, Inc
• Subjects: Analysis; Bank credit; Bank loans; Banking industry; Banking system; Banks; Capital markets; Company business management; Confidentiality; Credit; Demand loans; Economic forecasting; Economic impact; Economic theory; Finance; Forecasts; Forecasts and trends; GDP; Gross Domestic Product; Inventories; Loans; Macroeconomics; Management; Market trend/market analysis; Monetary policy; Proxy reporting; Proxy statements; Studies; Supply; Supply and demand; Supply shock; Supply shocks; Europe; United States > US

The inability to clearly distinguish the effects of shocks to loan supply from those to loan demand has made it difficult to quantify the economic importance of the credit channel in the transmission mechanism of monetary policy. This study provides an innovative approach to identifying loan supply...