Credit Rationing and Capital Accumulation
Bibliographic Data
| ID | 9726626 |
|---|---|
| Authors | Edward F Buffie (corresponding author) |
| Year | 1991 |
| Volume | 58 |
| Issue | 231 |
| Pages | 299 |
| Publication date | 1991-08-01 |
| Peer Reviewed | Yes |
| Open Access | No |
| Type | ARTICLE |
| Venue | Economica (JOURNAL) |
| Journal identifiers | ISSN: 0013-0427 • E-ISSN: 1468-0335 |
| Publisher | JSTOR (PUBLISHER) |
| DOI | 10.2307/2554818 |
| OpenAlex | W1970349640 |
| Language | EN |
| Citations received | 1 |
This paper develops a dynamic partial equilibrium analysis of how financial policy affects capital accumulation when bank loans are rationed and subsidized. The underlying specification of intertemporal behavior is critical: loan policy often has qualitatively different effects on capital accumulation in overlapping-generations and infinite-horizon models. It is also shown that, in the infinite-horizon case, the results are extremely sensitive to the timing of private-sector expectations. Policies that promote (reduce) capital accumulation when unanticipated induce capital decumulation (accumulation) when anticipated. Copyright 1991 by The London School of Economics and Political Science
Capital (architecture) · Capital accumulation · Capital formation · Credit rationing · Economics · Financial capital · Fixed capital · Human capital · Interest rate · Loan · Macroeconomics · Market economy · Microeconomics · Monetary economics · Overlapping generations model · Physical capital · Subsidy · Banking stability, regulation, efficiency · Economic theories and models · Economic Theory and Policy
| Unique citing works | 1 |
|---|---|
| Citations per year | 0,03 |
| Citation span | 1996 - 1996 (1) |
| Citation velocity | historical |
| Highly cited | No |
| Citation types | Neutral: 1 |