Interest Rates, Leverage, and Business Cycles in Emerging Economies: The Role of Financial Frictions
通过将金融加速器嵌入小型开放经济体商业周期模型，并用新兴经济体面板数据估计，解释了利率与杠杆的反周期模式，对研究新兴市场宏观经济的学者有参考价值。
Countercyclical country interest rates have been shown to be an important characteristic of business cycles in emerging markets. In this paper we provide a microfounded rationale for this pattern by linking interest rate spreads to the dynamics of corporate leverage. For this purpose we embed a financial accelerator into a business cycle model of a small open economy and estimate it on a novel panel dataset for emerging economies that merges macroeconomic and financial data. The model accounts well for the empirically observed countercyclicality of interest rates and leverage, as well as for other stylized facts.