The macroeconomic effects of debt relief policies during recessions / by Soyoung Lee.: FB3-5/2023-48E-PDF
"I study debt relief as a stimulus policy using a dynamic stochastic general equilibrium model that captures the rich heterogeneity in households’ balance sheets. In this environment, a large-scale mortgage principal reduction can amplify a recovery, support house prices and lower foreclosures. The nature of the intervention, in terms of its eligibility, liquidity and financing, shapes its macroeconomic impact. This impact rests on how resources are redistributed across households that vary in their marginal propensities to consume. The availability of bankruptcy on unsecured debt quantitatively changes the macroeconomic response to large-scale mortgage relief by reducing precautionary savings"--Abstract.
Permanent link to this Catalogue record:
publications.gc.ca/pub?id=9.927631&sl=0
| Department/Agency | Bank of Canada, issuing body. |
|---|---|
| Title | The macroeconomic effects of debt relief policies during recessions / by Soyoung Lee. |
| Series title | Staff working paper = Document de travail du personnel, 1701-9397 ; 2023-48 |
| Publication type | Series - View Master Record |
| Language | [English] |
| Format | Electronic |
| Electronic document | |
| Note(s) | "Last updated: August 28, 2023." Includes bibliographical references. Includes abstract in French. |
| Publishing information | [Ottawa] : Bank of Canada = Banque du Canada, 2023. ©2023 |
| Author / Contributor | Lee, Soyoung, author. |
| Description | 1 online resource (1 volume (various pagings)) : charts. |
| Catalogue number |
|
| Subject terms | Debt relief. Recessions. Dettes -- Allègement. Récessions. |
Request alternate formats
To request an alternate format of a publication, complete the Government of Canada Publications email form. Use the form’s “question or comment” field to specify the requested publication.- Date modified: