Information problems and deposit constraints at banks

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Jith Jayaratne; Donald Morgan;
  • Subject: Deposit insurance ; Bank deposits ; Bank loans ; Monetary policy

Following the investment-cash flow literature, we test whether bank lending is constrained by the availability of insured deposits--a necessary condition for the existence of bank lending channel of monetary policy. We treat insured deposits as a type of "internal fund,... View more
  • References (14)
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