{
  "title": "The Real Effects of Financial Sector Interventions During Crises",
  "publication": "IMF Working Papers, March 1, 2011",
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  "summary": "We collect new data to assess the importance of supply-side credit market frictions by studying the impact of financial sector recapitalization packages on the growth performance of firms in a large cross-section of 50 countries during the recent crisis.",
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    {
      "heading": "Research objective and approach",
      "content": "- Objective: Assess the importance of supply-side credit market frictions by studying the impact of financial sector recapitalization packages on the growth performance of firms.\n- Sample and scope: Analysis covers a large cross-section of 50 countries during the recent crisis.\n- Identification strategy:\n  - Uses the financial crisis as a shock to credit supply.\n  - Exploits exogenous variation in the degree to which firms depend on external financing for investment needs.\n  - Focuses on policy interventions aimed at alleviating the bank capital crunch."
    },
    {
      "heading": "Key findings",
      "content": "- Bank recapitalization effects:\n  - The growth of firms dependent on external financing is disproportionately positively affected by bank recapitalization policies.\n  - The effect is quantitatively important and robust to controlling for other financial sector support policies.\n- Fiscal policy effects:\n  - Fiscal policy disproportionately boosted growth of firms more dependent on external financing.\n- Implication:\n  - Results provide new evidence of a quantitatively important role of credit market frictions in influencing real economic activity."
    },
    {
      "heading": "Subject areas and keywords",
      "content": "- Subject: Bank resolution, Banking, Creditor bail-in, Financial crises, Fiscal policy\n- Keywords: bank assets, bank liability, bank support, book value, economic activity, working capital, WP\n\n---\n\n Content in this bundle\n\n- Wp1145\n  - Wp1145 (Markdown version){rel=\"alternate\" type=\"text/markdown\"}\n  - Wp1145 (PDF){rel=\"external\" type=\"application/pdf\"}\n\n---\n\nSource: https://www.imf.org/en/publications/wp/issues/2016/12/31/the-real-effects-of-financial-sector-interventions-during-crises-24681"
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    "Authors: Fabian Valencia, Luc Laeven",
    "Published: March 1, 2011",
    "Series: IMF Working Papers",
    "DOI: https://doi.org/10.5089/9781455218974.001",
    "Objective: Assess the importance of supply-side credit market frictions by studying the impact of financial sector recapitalization packages on the growth performance of firms.",
    "Sample and scope: Analysis covers a large cross-section of 50 countries during the recent crisis.",
    "Identification strategy:",
    "Bank recapitalization effects:",
    "Fiscal policy effects:",
    "Implication:",
    "Subject: Bank resolution, Banking, Creditor bail-in, Financial crises, Fiscal policy",
    "Keywords: bank assets, bank liability, bank support, book value, economic activity, working capital, WP",
    "**Wp1145**"
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