Kinks and Gains from Credit Cycles

Publikation: Working paperForskning

Standard

Kinks and Gains from Credit Cycles. / Jensen, Henrik; Ravn, Søren Hove; Santoro, Emiliano.

2019.

Publikation: Working paperForskning

Harvard

Jensen, H, Ravn, SH & Santoro, E 2019 'Kinks and Gains from Credit Cycles'.

APA

Jensen, H., Ravn, S. H., & Santoro, E. (2019). Kinks and Gains from Credit Cycles. CEPR Discussion Paper Series , Nr. DP13795

Vancouver

Jensen H, Ravn SH, Santoro E. Kinks and Gains from Credit Cycles. 2019 jul 29.

Author

Jensen, Henrik ; Ravn, Søren Hove ; Santoro, Emiliano. / Kinks and Gains from Credit Cycles. 2019. (CEPR Discussion Paper Series ; Nr. DP13795).

Bibtex

@techreport{9c3733ff8b81469286ee65a3135d43eb,
title = "Kinks and Gains from Credit Cycles",
abstract = "Credit-market imperfections are at the centre stage of several theories of business fluctuations. Since a lot of research seeks to address the welfare consequences of stabilization policies, we revisit the fundamental question of quantifying the cost of business cycles in a model where household borrowing is subject to a collateral constraint. Business cycles occasionally change the credit-market conditions, making households temporarily unconstrained and better off. This effect can dominate the conventional losses from uncertainty, thus making fluctuations welfare-dominate certainty.",
keywords = "Faculty of Social Sciences, Collateral constraints, Cost of business cycles, precautionary saving",
author = "Henrik Jensen and Ravn, {S{\o}ren Hove} and Emiliano Santoro",
year = "2019",
month = "7",
day = "29",
language = "English",
series = "CEPR Discussion Paper Series",
publisher = "Centre for Economic Policy Research",
number = "DP13795",
type = "WorkingPaper",
institution = "Centre for Economic Policy Research",

}

RIS

TY - UNPB

T1 - Kinks and Gains from Credit Cycles

AU - Jensen, Henrik

AU - Ravn, Søren Hove

AU - Santoro, Emiliano

PY - 2019/7/29

Y1 - 2019/7/29

N2 - Credit-market imperfections are at the centre stage of several theories of business fluctuations. Since a lot of research seeks to address the welfare consequences of stabilization policies, we revisit the fundamental question of quantifying the cost of business cycles in a model where household borrowing is subject to a collateral constraint. Business cycles occasionally change the credit-market conditions, making households temporarily unconstrained and better off. This effect can dominate the conventional losses from uncertainty, thus making fluctuations welfare-dominate certainty.

AB - Credit-market imperfections are at the centre stage of several theories of business fluctuations. Since a lot of research seeks to address the welfare consequences of stabilization policies, we revisit the fundamental question of quantifying the cost of business cycles in a model where household borrowing is subject to a collateral constraint. Business cycles occasionally change the credit-market conditions, making households temporarily unconstrained and better off. This effect can dominate the conventional losses from uncertainty, thus making fluctuations welfare-dominate certainty.

KW - Faculty of Social Sciences

KW - Collateral constraints

KW - Cost of business cycles

KW - precautionary saving

M3 - Working paper

T3 - CEPR Discussion Paper Series

BT - Kinks and Gains from Credit Cycles

ER -

ID: 222257122