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Is the lending channel of monetary policy dominant in Australia? (Revised)

Suzuki, Tomoya


A long-standing macroeconomic issue is how monetary policy affects the real economy. The lending view is that tight money affects aggregate demand by shifting the supply schedule left in the bank loan market. Previous studies have found that loans contract following tight money. It is not clear whether the financial contraction reflects a shift of the supply schedule or the demand schedule in the loan market, however. In an attempt to identify the shifts of the demand and supply schedules in...[Show more]

CollectionsANU Research Publications
Date published: 2003
Type: Working/Technical Paper


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