On the Existence of a Credit Channel of Monetary Policy in Germany
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On the Existence of a Credit Channel of Monetary Policy in Germany
Guender, Alfred | Moersch, Mathias
Credit and Capital Markets – Kredit und Kapital, Vol. 30 (1997), Iss. 2 : pp. 173–185
2 Citations (CrossRef)
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Alfred Guender, Christchurch and Frankfurt/Main
Mathias Moersch, Christchurch and Frankfurt/Main
Cited By
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Monetary Policy and Business Cycle Asymmetry in Germany
Kakes, Jan
Credit and Capital Markets – Kredit und Kapital, Vol. 33 (2000), Iss. 2 P.182
https://doi.org/10.3790/ccm.33.2.182 [Citations: 1] -
Monetary Transmission and Bank Lending in Germany
Kakes, Jan | Sturm, Jan-Egbert | Maier, PhilippCredit and Capital Markets – Kredit und Kapital, Vol. 34 (2001), Iss. 4 P.505
https://doi.org/10.3790/ccm.34.4.505 [Citations: 0]
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Abstract
On the Existence of a Credit Channel of Monetary Policy in Germany
This paper analyzes the credit channel of monetary policy in Germany. It finds little evidence for the existence of a credit channel, while confirming the standard channel of monetary transmission which works through bank liabilities. The findings suggest that, first, monetary policy shocks are largely transmitted through bank liabilities rather than assets. Second, after a policy tightening loans as a share of overall assets increase temporarily. The absence of a credit channel is consistent with a strong Hausbank relationship, in which banks insulate loan portfolios from monetary policy shocks.