Sentence examples for collateral constraints from inspiring English sources

When they take on debt, borrowers fail to take into account the effect of their actions on the collateral constraints faced by others.

At that point the cycle goes into reverse: as asset prices fall, collateral constraints tighten, squeezing borrowing, which results in further falls in prices.

These shocks strengthen incentives to borrow in good times (i.e. when "good news" about future fundamentals coincide with a low-world-interest-rate regime), thereby increasing vulnerability to crises and enlarging the pecuniary externality due to the collateral constraints.

We study optimal macroprudential policy in a model in which unconventional shocks, in the form of news about future fundamentals and regime changes in world interest rates, interact with collateral constraints in driving the dynamics of financial crises.

Financial institutions provide an equal chance to access financial service for both male and female, but collateral becomes a constraint to women in accessing loans.

A major part of total firms (20%%) encountered the collateral problem and time constraints.

The members noted that increased housing market activity could boost growth and provide a "modest fillip" to consumer spending and investment if increased collateral helped to relax credit constraints.

This is especially the case when access to formal credit suppliers such as banks is limited because of many constraints, including scarce collateral, market segmentation and lack of effective communication [ 14].

Otherwise, the second best is distortionary because collateral serves as a binding credit constraint.

In their study, Magesa et al. (2013) asserted that access to collateral and asset based lending is a constraint to women from accessing finance because of strong cultural norms whereby women are not entitled to the assets.

Adaptive evolution offers many opportunities in metabolic engineering; however, several constraints still exist as evolutionary trade-offs may impose collateral cost to obtain new traits.