Credit Supply and Productivity Growth
Download or Read eBook Credit Supply and Productivity Growth PDF written by Francesco Manaresi and published by International Monetary Fund. This book was released on 2019-05-17 with total page 75 pages. Available in PDF, EPUB and Kindle.
| Author | : Francesco Manaresi |
| Publisher | : International Monetary Fund |
| Total Pages | : 75 |
| Release | : 2019-05-17 |
| ISBN-10 | : 9781498315913 |
| ISBN-13 | : 1498315917 |
| Rating | : 4/5 (13 Downloads) |
Book Synopsis Credit Supply and Productivity Growth by : Francesco Manaresi
Book excerpt: We study the impact of bank credit on firm productivity. We exploit a matched firm-bank database covering all the credit relationships of Italian corporations, together with a natural experiment, to measure idiosyncratic supply-side shocks to credit availability and to estimate a production model augmented with financial frictions. We find that a contraction in credit supply causes a reduction of firm TFP growth and also harms IT-adoption, innovation, exporting, and adoption of superior management practices, while a credit expansion has limited impact. Quantitatively, the credit contraction between 2007 and 2009 accounts for about a quarter of observed the decline in TFP.
