The Equilibrium Impact of Credit Frictions: Evidence from Default Risk Using Firm-Level Data
UK firm-level data shows relaxing credit frictions raises output by 25% and wages by 23%, with most gains from capital accumulation rather than reallocation.
Featured in No. 134 on 9 Oct 2026 · 2 days after release
- Released
- 7 Oct 2026
- First featured
- No. 134 · 9 Oct 2026
- Published in
- Not yet, as far as Semantic Scholar knows
- Fanfare
- 3 of 5
- Identifier
- RePEc:nbr:nberwo:35552
- Authors
- Timothy J. Besley et al.
Citations and venue from Semantic Scholar (ODC-BY), refreshed weekly. Summary: Quant Letter (CC BY 4.0).