Borrowing Constraints
Saving and growth under borrowing constraints explaining the "high saving rate" puzzle
... to borrowing constraints, as the growth rate increases, the saving rate in the current model also rises accordingly, despite the low and …xed deposit ...and borrowing constraints make the ...
44
Private Transfers, Borrowing Constraints and the Timing of Homeownership
... Potentially, there is ample role for transfers to affect housing purchase decisions. But to be effective, transfers have to be well timed. Only by chance can bequests serve this purpose. Deliberately overcoming ...
43
The Effects of Households’ and Firms’ Borrowing Constraints on Economic Growth
... face borrowing constraints. Nonetheless, the borrowing constraints facing a firm and those encountered by a consumer have opposing effects on ...Relaxing borrowing constraints on ...
30
Borrowing constraints, the cost of precautionary saving and unemployment insurance
... face borrowing constraints than whether they had 2 months of ...of borrowing constraints agree more strongly with each other than with the asset ...
63
On the importance of borrowing constraints for house price dynamics
... of borrowing constraints for house price ...household borrowing is unlimited and another where households face a constraint stating that they can borrow only up to a certain fraction of the value of ...
43
Human capital, fertility and growth under borrowing constraints
... face borrowing constraints may reduce fertility to increase children's hu- man ...fact, constraints on household borrowing have negative e®ects on aggregate educational attainment in ...
29
Entrepreneurial Choice and Knightian Uncertainty with Borrowing Constraints
... choice is una¤ected by borrowing constraints. Our results have implications for economic development and occupational choice. Iyigun and Owen (1999) provide empirical evidence that shows that in economies ...
28
Precautionary Saving, Borrowing Constraints, and Fiscal Policy
... where borrowing constraints become more relaxed as suggested by ...card borrowing or consumer ...relaxed borrowing constraints have lower MPCs than they had a generation ...
23
Trade credit, collateral liquidation and borrowing constraints
... how borrowing constraints affect the demand for trade credit, since none of them explicitly models credit ...ease borrowing constraints by extending trade credit to their ...
42
The Dynamic Effects of Firm Level Borrowing Constraints
... financial constraints (and endogenous exit) can have large and arguably surprising effects on output ...financial constraints nearly halves the standard deviation of ...financial constraints are ...
56
Borrowing Constraints, College Aid, and Intergenerational Mobility
... The income contingent loans take a di¤erent approach to the problem. If we ignore any po- tential problems of default, misreporting incomes, and the like, the ICL scheme e¤ectively removes the borrowing ...
48
Social Security Reform with Uninsurable Income Risk and Endogenous Borrowing Constraints
... Our economy is in many aspects similar from the economy described in Imrohoroglu et al. (1995). We work in a large overlapping generations setup, with mortality risk and individual income risk. We also preclude for ...
32
Optimal risk sharing and borrowing constraints in a continuous time model with limited commitment
... on borrowing (other than a never-binding no-Ponzi-scheme ...which borrowing limits are absent would not implement any efficient allocation of the limited- commitment ...the borrowing constraint. In ...
37
Borrowing Constraints, Entrepreneurial Risks, and the Wealth Distribution in a Heterogeneous Agent Model
... Entrepreneurs of the 4th wealth quintile possess wealth amounts close to the critical level which separates future entrepreneurs from future workers. 11 If a mem- ber of this wealth class receives a bad productivity ...
39
Consumption Smoothing and Borrowing Constraints: Evidence from Household Surveys of Iran
... binding constraints in optimization problem of households and firms is to test the Euler equation in different groups of observations that are different in access to ...already borrowing constraint and ...
31
Optimal Monetary Policy with Collateralized Household Debt and Borrowing Constraints
... of borrowing constraints and the con- sideration of durables as collateral assets help in reconciling the model with the observed empirical ...vein, borrowing constraints act as a substitute ...
53
To Each According to...? Markets, Tournaments, and the Matching Problem with Borrowing Constraints
... F(V(a ¡ (s), w)), ∀w∈[0, e(F −1 (s), a ¡ (s))). (4.10) Analogously to Figure 2 in the prior section, we can depict the equilibrium with tournaments and borrowing constraints as shown in Figure 3. As before, ...
26
Optimal Fiscal Policy and Private Sector Borrowing Constraints
... There are a few other papers that investigate borrowing constraints and optimal policy. Azzimonti and Yared (2017) show in a model with heterogeneous agents and lump-sum taxes that it is optimal to keep ...
29
The financing of young firms. How persistent are borrowing constraints?
... To identify the different aspects of progress in young firms and the determinants of growth is not an easy task. In this paper we examine more closely the evolution of young firms by means of a broad set of empirical ...
34
Trade Credit, Collateral Liquidation and Borrowing Constraints
... To account for the foregoing stylized facts, we propose a model with collateralized bank and trade credit. Firms are opportunistic and face uncertain demand. They choose between two sources of external funding (bank and ...
44