A look back All of us, collectively and as individuals, have been immersed in the fallout from the global financial crisis that began to unfold in August 2007. Its impact has been profound and widespread, across national economies and financial markets.
In particular, in the past loans to firms have tended to lag turning points in the business cycle. One explanation for this may be that firms tend to use their own funds first and only afterwards resort to external financing, which leads to low demand for credit around the turning point.