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Test of the Bank Lending Channel: The Case of Poland

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This paper tests the bank lending channel for Poland based on a simultaneousequation model consisting of demand for and supply of bank loans. The three-stage least squares method is employed in empirical work. This paper finds support for a bank lending channel for Poland. Expansionary monetary policy through a lower money market rate or open market purchase of government bonds to increase bank reserves/deposits would increase bank loan supply.
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REFERENCES

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Test of the Bank Lending Channel: The Case of Poland
EJBE 2013, 6 (12) Page | 149
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