The supply and demand of credit are not always well aligned and matched, as is reflected in the countercyclical excess reserve-to-deposit ratio and interest spread between the lending rate and the deposit rate. We develop a search-based theory of credit allocation to explain the cyclical fluctuations in bank reserves, the interest spread, as well as credit rationing. We show that search frictio...

In today's competitive business situation, the supplier frequently offers his or her retailers a permissible delay period to stimulate sales. addition, capacity of any warehouse is limited in practice; thus, retailer needs an additional rented store excess units when order quantity exceeds own warehouse. Furthermore, with globalization marketing policy, may provide discounted price if purchase ...

The purpose of this study was to investigate the role of extension services in enhancing effectiveness of out growers’ credit system in Kisumu County, Kenya. The study specifically sought to determine whether public and private extension services play a significant role in enhancing effectiveness of out-growers’ credit system among smallholder sugarcane farmers. A total of 110 small scale farme...

We study a simple, solvable model that allows us to investigate effects of credit contagion on the default probability of individual firms, in both portfolios of firms and on an economy wide scale. While the effect of interactions may be small in typical (most probable) scenarios they are magnified, due to feedback, by situations of economic stress, which in turn leads to fatter tails in loss d...

in this study business operations and liquidity and credit risk on price fluctuations on the stock exchange since 2010 to 2013 has been tehran distance. the sample consisted of 76 company the systematic elimination method is selected. the company had a total of 304 years, in this study, the hypothesis of linear regression and correlation to analyse the data and test hypotheses eviews software i...