Essays on macroeconomic effects of credit market fluctuations
This dissertation includes three chapters on the macroeconomic effects of the financial system, particularly the credit market. In the first chapter, I show a causal link between household credit supply and economic activity using an exogenous shock to household credit supply by Spanish banks in Mex...
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| Tipo de recurso: | tesis doctoral |
| Estado: | Versión publicada |
| Fecha de publicación: | 2016 |
| País: | España |
| Institución: | CBUC, CESCA |
| Repositorio: | TDR. Tesis Doctorales en Red |
| OAI Identifier: | oai:www.tdx.cat:10803/398786 |
| Acceso en línea: | http://hdl.handle.net/10803/398786 |
| Access Level: | acceso abierto |
| Palabra clave: | Macroeconomic effects Credit market Efectos macroeconómicos Mercados de crédito 33 |
| Sumario: | This dissertation includes three chapters on the macroeconomic effects of the financial system, particularly the credit market. In the first chapter, I show a causal link between household credit supply and economic activity using an exogenous shock to household credit supply by Spanish banks in Mexico resulting from macroprudential regulations in Spain. I use the variation in exposure to this shock across Mexican municipalities as a natural experiment and measure the elasticity of lending to the non-tradable sector to changes in household credit ranging from 1.6-3.5. In the second chapter, I show that the Spanish regulations did not affect lending to Mexican firms by Spanish banks. I use firm-level data to show that firms with multiple bank relationships did not experience a change in loan-terms (in levels and interest rates) of marginal credit offered by Spanish banks vis-a-vis the terms offered by non-Spanish banks. I write a theoretical model that accounts for the asymmetric effect of the Spanish regulations on lending to firms and households based on the relationship rents earned by banks depending upon the proprietary information held by them on a given borrower. In the third chapter, I study the effect of asset bubbles in the presence of financial frictions and heterogeneous projects. I consider an economy with two sectors - a productive, financially constrained sector and an unproductive sector with lower levels of financial constraints. Financial constraints create conditions for the existence of asset bubbles. Asset bubbles, in turn, raise interest rates and lower investment productivity by directing financial resources away from the financially constrained, productive sector to the less constrained, unproductive sector. Such bubbles guide the economy to steady states with low levels of consumption that I call bubbly growth traps. |
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