Off the cliff and back? Credit conditions and international trade during the global financial crisis

• Main Authors: CHOR, Davin, KALINA, Manova
• Format: text
• Language: English
• Published: Institutional Knowledge at Singapore Management University 2012
• Subjects: international trade; financial crisis; credit constraints; trade credit; Finance; International Business; International Economics
• Online Access: https://ink.library.smu.edu.sg/soe_research/1165; https://ink.library.smu.edu.sg/context/soe_research/article/2164/viewcontent/Off_the_Cliff_and_Back_pp.pdf
• Institution: Singapore Management University

We examine the collapse of international trade flows during the 2008-2009 global financial crisis using detailed data on the evolution of monthly U.S. imports over the November 2006 - April 2009 period. We show that credit constraints and the reduction in the availability of external capital were an...