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Bank Lending To Industrial and Commercial Companies in Three Models of the UK Economy

Published online by Cambridge University Press:  26 March 2020

Keith Cuthbertson  and
Nigel Foster
Keith Cuthbertson
Affiliation:
National Institute of Economic and Social Research
Nigel Foster
Affiliation:
National Institute of Economic and Social Research
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Extract

In this article we compare the determination of bank advances to UK industrial and commercial companies (ICC) in three forecasting models of the British economy: those developed at the National Institute of Economic and Social Research (NIESR), at the Treasury (HMT) and at the Bank of England (BOE). In each of these models the private sector's demand for loans is an important element in the determination of the broadly-defined money stock (£M3), the rate of growth of which has been an important intermediate target of macroeconomic policy in recent years.

Type
Articles
Information
National Institute Economic Review , Volume 102 , November 1982 , pp. 63 - 77
Copyright
Copyright © 1982 National Institute of Economic and Social Research

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