ISSN:
1573-6911
Keywords:
Credit markets
;
Economies in transition
;
P20
Source:
Springer Online Journal Archives 1860-2000
Topics:
Economics
Notes:
Abstract In the context of economies in transition, the paper argues that an excessive liquidity squeeze could throw the economy into a persistent state of low economic activity. In such “bad” equilibrium, enterprise transactions become largely demonetized, with a chain of arrears, a form of involuntary credit, spreading over the entire system. The empirical analysis of the Romanian experience seems to support the view advanced in the paper.
Type of Medium:
Electronic Resource
URL:
http://dx.doi.org/10.1007/BF01383971
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