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Showing 1 to 2 of 2 for “"Borrowing/Lending"”.

  1. Essays on the Monetary Policy Transmission Mechanism

    … equilibrium outcomes. I show that collateral borrowing constraints have general equilibrium effects that operate via four channels; borrowers' collateral value, savers' portfolio reallocation, wage adjustments, and wealth effects due to changes in firms' profits. In the second chapter, …

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  2. Three essays on debt pricing

    … and Belief Dispersion. What drives consumers borrowing/lending and the credit spread over their debt? This paper offers a novel explanation based on rare event risk and belief dispersion in a dynamic general equilibrium model. Heterogeneous beliefs drive consumers to borrow, but the market is …

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