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But more recent analyses conclude that NIRA had little effect on capital markets one way or the other.
And some fear a negative effect on capital formation.
On Monday, Bank of America highlighted the deal's effect on capital levels.
They also suggested that further cuts in interest rates might not have the desired effect on capital spending.
"Recent financial market developments were thought unlikely to have an appreciable adverse effect on capital spending," Fed officials concluded.
The downturn in the stock market had a major effect on capital gains tax revenue, said Marc S. Ryan, secretary of the Office of Policy and Management.
Similar(48)
Government borrowing, in order to finance recurring deficits or wars, is so substantial that budgetary policy has important effects on capital markets and on interest and credit generally.
Perhaps the banks will reduce loans to hedge funds, which might start selling some assets, causing prices to drop and perhaps having additional negative effects on capital.
This paper uses a unique, comprehensive database of regulatory capital requirements on all UK banks to examine their effects on capital, lending and balance sheet management behavior.
There is weak support for the hypothesis that land titling can have positive effects on capital investment because the dwelling can be used as collateral.
We further find that counterparty effects on capital structure are sensitive to market incompleteness and firm's characteristics, such as tax rate and bankruptcy cost rate.
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Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com