US policy has greater impact on non-US leverage than domestic policy, paper finds

US dollar

Easing monetary policy in the US leads to a greater increase in leverage in non-US financial firms than when policy eases in their own country, a team of researchers find.

The team, Stephen Cecchetti et al, use firm-level data from nearly 1,000 bank and non-bank financial institutions in 21 countries from 1998–2014. The paper aims to examine whether US monetary policy has financial stability spillovers to the rest of the world.

In contrast to US monetary policy easing, eurozone easing has a

Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.

To access these options, along with all other subscription benefits, please contact [email protected] or view our subscription options here:

You are currently unable to copy this content. Please contact [email protected] to find out more.

To continue reading...

You need to sign in to use this feature. If you don’t have a Central Banking account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an individual account here: