Money Demand, Bank Credit, and Economic Performance in Former Socialist Economies
AbstractThis paper examines factors determining the allocation of bank credit to the enterprise sector and the implications of this allocation for aggregate supply and macroeconomic performance in the former socialist economies. It first develops a model to explain how changes in demand for money by the household sector directly influence the availability of working capital, which in turn determines aggregate output and employment. It then examines factors influencing the allocation of bank credit between enterprises and other borrowers, in particular the government. Finally, the paper discusses both the relative merits of bank finance and equity capital in financing medium-term and long-term investment and constraints on the development of efficient equity markets.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.
Bibliographic InfoArticle provided by Palgrave Macmillan in its journal Staff Papers - International Monetary Fund.
Volume (Year): 41 (1994)
Issue (Month): 2 (June)
Contact details of provider:
Web page: http://www.palgrave-journals.com/
Postal: Palgrave Macmillan Journals, Subscription Department, Houndmills, Basingstoke, Hampshire RG21 6XS, UK
Other versions of this item:
- Manmohan S. Kumar & Guillermo Calvo, 1994. "Money Demand, Bank Credit, and Economic Performance in Former Socialist Economies," IMF Working Papers 94/3, International Monetary Fund.
- G21 - Financial Economics - - Financial Institutions and Services - - - Banks; Other Depository Institutions; Micro Finance Institutions; Mortgages
- G38 - Financial Economics - - Corporate Finance and Governance - - - Government Policy and Regulation
- H30 - Public Economics - - Fiscal Policies and Behavior of Economic Agents - - - General
- P27 - Economic Systems - - Socialist Systems and Transition Economies - - - Performance and Prospects
You can help add them by filling out this form.
CitEc Project, subscribe to its RSS feed for this item.
- Buch, Claudia M., 1994. "Dealing with bad debt: Lessons from Eastern Europe," Kiel Working Papers 642, Kiel Institute for the World Economy.
- Barran, Fernando & Kegels, Chantal, 1996. "Channels of Monetary Policy in a Transition Country: Hungary," Discussion Papers (IRES - Institut de Recherches Economiques et Sociales) 1996016, Université catholique de Louvain, Institut de Recherches Economiques et Sociales (IRES).
- Buiter, Willem H, 1996.
"Aspects of Fiscal Performance in some Transition Economies under Fund-supported Programs,"
CEPR Discussion Papers
1535, C.E.P.R. Discussion Papers.
- W.H. Buiter, 1997. "Aspects of Fiscal Performance in Some Transition Economies Under Fund-Supported Programs," CEP Discussion Papers dp0333, Centre for Economic Performance, LSE.
- Willem H. Buiter, 1997. "Aspects of Fiscal Performance in Some Transition Economies Under Fund-Supported Programs," IMF Working Papers 97/31, International Monetary Fund.
- Patrick Conway, 2002. "Bridging “the Great Divide”: Countering Financial Repression in Transition," William Davidson Institute Working Papers Series 510, William Davidson Institute at the University of Michigan.
- Coricelli, Fabrizio, 1996. "Finance and growth in economies in transition," European Economic Review, Elsevier, vol. 40(3-5), pages 645-653, April.
- Martina Copelman & Alejandro M. Werner, 1995. "The monetary transmission mechanism in Mexico," International Finance Discussion Papers 521, Board of Governors of the Federal Reserve System (U.S.).
- Luoana D. Santarossa, 2001. "Arrears as a Sign of Financial Repression in Transition Economies - The Case of Romania," CERT Discussion Papers 0104, Centre for Economic Reform and Transformation, Heriot Watt University.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Elizabeth Gale).
If references are entirely missing, you can add them using this form.