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Monetary Policy and Trade Credit: Evidence for Spain

In: Modern Bank Behaviour

Author

Listed:
  • Santiago Carbo-Valverde
  • José Manuel Mansilla-Ferndndez
  • Francisco Rodriguez-Fernandez

Abstract

Trade credit is one of the most important financial sources for Spanish firms. It facilitates trade between firms and diversifies their funding sources. One of the main objectives of trade credit is to permit sellers to delay payment to their customers, depending on their financial needs. On the other hand, customers are able to operate with higher liquidity margins.

Suggested Citation

  • Santiago Carbo-Valverde & José Manuel Mansilla-Ferndndez & Francisco Rodriguez-Fernandez, 2013. "Monetary Policy and Trade Credit: Evidence for Spain," Palgrave Macmillan Studies in Banking and Financial Institutions, in: José Manuel Pastor Monsálvez & Juan Fernández Guevara Radoselovics (ed.), Modern Bank Behaviour, chapter 4, pages 68-82, Palgrave Macmillan.
    • Handle: RePEc:pal:pmschp:978-1-137-00186-3_5
    DOI: 10.1057/9781137001863_5
    as

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