IDEAS home Printed from https://ideas.repec.org/a/prg/jnlpep/v1998y1998i4id158.html
   My bibliography  Save this article

Monetary transmission mechanism (lending channel)

Author

Listed:
  • Vratislav Izák

Abstract

The Czech National Bank (CNB) has influenced the money market rates (Pribor) through repo rates effectively. The strong cointegration has been valid for the further step, too - the impact of Pribor rates on the interest rates of newly granted credits.The expected negative correlation between interest rates on the one side end both investment and newly granted credits have been found, however, the results are not statistically significant.Industrial production and credits in domestic currency into industry have not been cointegrated. The causality tests say that credits Granger cause industrial production with a time lag of 5 months. Another tool of vector autoregressions - variance decomposition reveals that in forecasting these two variables the variance is influenced by their own dynamics first of all.More detailed analysis of the credit structure in industry in 1997 shows the increasing ratio of credits in foreign currencies for credits in CZK to avoid the impacts of tight domestic monetary policy.

Suggested Citation

  • Vratislav Izák, 1998. "Monetary transmission mechanism (lending channel)," Prague Economic Papers, Prague University of Economics and Business, vol. 1998(4).
    • Handle: RePEc:prg:jnlpep:v:1998:y:1998:i:4:id:158
    DOI: 10.18267/j.pep.158
    as

    Download full text from publisher

    File URL: http://pep.vse.cz/doi/10.18267/j.pep.158.html
    Download Restriction: free of charge
    File URL: https://libkey.io/10.18267/j.pep.158?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:prg:jnlpep:v:1998:y:1998:i:4:id:158. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Stanislav Vojir (email available below). General contact details of provider: https://edirc.repec.org/data/uevsecz.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.