SCHCLAREK CURUTCHET ALFREDO
Congresos y reuniones científicas
Título:
Investment, Lending and The Corridor Hypothesis
Autor/es:
ALFREDO SCHCLAREK; DANIEL HEYMANN
Reunión:
Otro; Taller de trabajo; 2010
Resumen:
This paper theoretically studies the interaction between the
productive sector and the financial sector. In the model, the
productive sector finances its activities through access to loans
by the financial sector. When the economy is hit by a small
liquidity shock, the financial sector helps the productive sector
to cope with the shock and helps stabilizing the economy. In this
interval, total credits granted by the financial sector are
increasing in the liquidity needs of the productive sector. When
the liquidity shock is large, the financial sector is not only
unable to help the productive sector but is also an additional
destabilizing factor due to the withdrawal of available liquid
funds. In this interval, total credits granted by the financial
sector are decreasing in the liquidity needs of the productive
sector. There is a role for the government to stabilize the
economy when the shock is large.