Credit rationing
Credit rationing is the limiting by lenders of the supply of additional credit to borrowers who demand funds at a set quoted rate by the financial institution. It is an example of market failure, as the price mechanism fails to bring about equilibrium in the market. It should not be confused with cases where credit is simply "too expensive" for some borrowers, that is, situations where the interest rate is deemed too high. With credit rationing, the borrower would like to acquire the funds at the current rates, and the imperfection is the absence of supply from the financial institutions, despite willing borrowers. In other words, at the prevailing market interest rate, demand exceeds supply, but lenders are not willing to either loan more funds, or raise the interest rate charged, as they
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Credit rationing
Credit rationing is the limiting by lenders of the supply of additional credit to borrowers who demand funds at a set quoted rate by the financial institution. It is an example of market failure, as the price mechanism fails to bring about equilibrium in the market. It should not be confused with cases where credit is simply "too expensive" for some borrowers, that is, situations where the interest rate is deemed too high. With credit rationing, the borrower would like to acquire the funds at the current rates, and the imperfection is the absence of supply from the financial institutions, despite willing borrowers. In other words, at the prevailing market interest rate, demand exceeds supply, but lenders are not willing to either loan more funds, or raise the interest rate charged, as they
has abstract
Credit rationing is the limiti ...... capital reserve requirements.
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El racionamiento del crédito e ...... n maximizando las ganancias.
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Il razionamento azionario (del ...... ment al rischio di bancarotta.
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Kreditrationierung ist ein Beg ...... n Qualitätsmerkmalen ablehnen.
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تقنين الائتمان (بالإنجليزية: C ...... ماثلة للذين يحصلون على القروض.
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Credit rationing is the limiti ...... interest rate charged, as they
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El racionamiento del crédito e ...... s se considera demasiado alta.
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Il razionamento azionario (del ...... ment al rischio di bancarotta.
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Kreditrationierung ist ein Beg ...... t folglich zwei Möglichkeiten:
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تقنين الائتمان (بالإنجليزية: C ...... ماثلة للذين يحصلون على القروض.
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label
Credit rationing
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Kreditrationierung
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Racionamiento del crédito
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Razionamento azionario
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تقنين الائتمان
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