06297oam 22012494 450 991082597700332120200520144314.01-4623-1844-41-4527-6621-597866128429001-4518-7216-X1-282-84290-0(CKB)3170000000055236(EBL)1608237(SSID)ssj0000941179(PQKBManifestationID)11587742(PQKBTitleCode)TC0000941179(PQKBWorkID)10956180(PQKB)10119747(OCoLC)650248783(IMF)WPIEE2009069(MiAaPQ)EBC1608237(IMF)WPIEA2009069(EXLCZ)99317000000005523620020129d2009 uf 0engur|n|---|||||txtccrFrom Subprime Loans to Subprime Growth? Evidence for the Euro Area /Martin Cihak, Petya Brooks1st ed.Washington, D.C. :International Monetary Fund,2009.1 online resource (37 p.)IMF Working PapersDescription based upon print version of record.1-4519-1651-5 Includes bibliographical references.Contents; I. Introduction; II. Empirical Evidence; A. Linkages Between Bank Characteristics and Lending Behavior; B. Linkages Between Bank Loan Supply and Aggregate Output; C. Linkages Between Corporate Financing Conditions and Economic Activity; D. Risk Transfers Between Banks and Other Sectors: Contingent Claims Analysis ..; III. Quantitative Implications; IV. Conclusions; Figures; 1. Euro Area: Money Market and Retail Lending Rates, 2003-08; 2. Euro Area: Changes in Credit Standards to Enterprises and Households, 2005-08; 3. Euro Area: Corporate and Equity Market Prices, 2007-084. Euro Area: Growth in Bank Loans and Securities Issuance, 2003-085. Euro Area: Distance to Default for Banks, 1991-2008; 6. Euro Area: Excess Demand for Loans, 1997-2008; 7. Euro Area: Growth in Real Output and Bank Loans, 2000-08; 8. Euro Area: Corporate Debt Issuance, 1990-2008; 9. Euro Area: Response of Annual Growth in Industrial Production to One Standard Deviation Innovation in Corporate Spread; 10. Euro Area: Estimated Default Probability (Banks and Non-Banks),1991-2008; Tables; 1. Demand and Supply in the Disequilibrium Model, 1997-200711. Euro Area: Estimated Default Probability (Public Sector), 1997-200812. Capitalization in Euro Area Banks, 1997-2008; 2. OLS Regression of Output on Loans; 3. First Stage IV Regression: Loans on Money Demand Shocks; 4. Second Stage IV Regression of Output on Loans; Appendixes; I. Calculating the Distance to Default; II. Identifying the Linkage Between Bank Loan Supply and Aggregate Output; III. Contingent Claims Analysis: A Primer; ReferencesThe global financial crisis has highlighted the potential of financial conditions for influencing real economic activity. We examine the linkages between the financial and real sectors in the euro area, finding that (i) bank loan supply responds negatively to declines in bank soundness; (ii) a cutback in bank loan supply has a negative impact on economic activity; (iii) a positive shock to the corporate bond spread lowers industrial output; and (iv) risk indicators for the banking, corporate, and public sectors show an improvement beginning in 2002–03, followed by a major deterioration since 2007. These estimates imply that the currently estimated bank losses would subtract some 2 percentage points from the euro area output (but with considerable uncertainty around the estimates).IMF Working Papers; Working Paper ;No. 2009/069Euro areaGlobal Financial Crisis, 2008-2009Bank creditimfBankingimfBanks and BankingimfBanks and bankingimfBanksimfBondsimfCorporate bondsimfCreditimfDemand for MoneyimfDemand for moneyimfDepository InstitutionsimfFinanceimfFinancial institutionsimfFinancial Markets and the MacroeconomyimfGeneral Financial Markets: General (includes Measurement and Data)imfIndustries: Financial ServicesimfInvestment & securitiesimfInvestments: BondsimfLoansimfMicro Finance InstitutionsimfMonetary economicsimfMonetary Policy, Central Banking, and the Supply of Money and Credit: GeneralimfMoney and Monetary PolicyimfMoneyimfMortgagesimfUnited StatesimfEuro area.Global Financial Crisis, 2008-2009.Bank creditBankingBanks and BankingBanks and bankingBanksBondsCorporate bondsCreditDemand for MoneyDemand for moneyDepository InstitutionsFinanceFinancial institutionsFinancial Markets and the MacroeconomyGeneral Financial Markets: General (includes Measurement and Data)Industries: Financial ServicesInvestment & securitiesInvestments: BondsLoansMicro Finance InstitutionsMonetary economicsMonetary Policy, Central Banking, and the Supply of Money and Credit: GeneralMoney and Monetary PolicyMoneyMortgages332.1Cihak Martin1106217Brooks Petya1637028International Monetary Fund.DcWaIMFBOOK9910825977003321From Subprime Loans to Subprime Growth? Evidence for the Euro Area4239342UNINA