Interest Rates, Credit Rationing, and Investment in Developing Countries

Interest Rates, Credit Rationing, and Investment in Developing Countries
This paper examines the impact of interest rates and inflation on bank loans and investment within a framework that mimics the financial sectors prevailing in most low-income developing countries. The paper emphasizes the importance of treating the lending and deposit rates of interest as distinct parameters in investment equations. The spread... READ MORE...

Publication date: March 2003
ISBN 9781451848441
$15.00

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