Financial Pressure, Monetary Policy Effects and Inventories
Firm‐level Evidence from a Market‐based and a Bank‐based Financial System
Bibliographic Data
| ID | 9727124 |
|---|---|
| Authors | ANDREW BENITO (Bank of England, corresponding author) |
| Year | 2005 |
| Volume | 72 |
| Issue | 286 |
| Pages | 201-224 |
| Publication date | 2005-05-01 |
| Peer Reviewed | Yes |
| Open Access | Yes |
| Type | ARTICLE |
| Venue | Economica (JOURNAL) |
| Journal identifiers | ISSN: 0013-0427 • E-ISSN: 1468-0335 |
| Publisher | Wiley (PUBLISHER • GB) |
| DOI | 10.1111/j.0013-0427.2005.00411.x |
| OpenAlex | W2016608492 |
| Language | EN |
| Citations received | 6 |
| References cited | 29 |
This paper examines the adjustment of inventories by firms in the United Kingdom and Spain, which have two quite different financial systems. A widely held view is that a key channel for monetary policy is through the influencing of inventory accumulation. Using a large company‐level panel data‐set for both countries, significant effects associated with borrowing costs on inventories are estimated. Financial effects associated with liquidity and the borrowing ratio are estimated to be stronger in the UK than in Spain. Since the Spanish financial system is bank‐based, while that of the UK is market‐based, this is interpreted as contrary to the Bank Dependence Hypothesis
Business · Economics · Financial market · Financial system · Market liquidity · Monetary economics · Monetary policy · Panel data · Banking stability, regulation, efficiency · Corporate Finance and Governance · Finance · Monetary Policy and Economic Impact
Some Tests of Specification for Panel Data
Another look at the instrumental variable estimation of error-components models
Initial conditions and moment restrictions in dynamic panel data models
Financing Constraints and Inventory Investment
Financial Factors and Investment in Belgium, France, Germany, and the United Kingdom
The Effects of Financial Constraints on Inventory Investment
Taking Stock
| Unique citing works | 6 |
|---|---|
| Citations per year | 0,32 |
| Citation span | 2007 - 2014 (8) |
| Citation velocity | historical |
| Highly cited | No |
| Citation types | Neutral: 6 |