Chart 8 shows the immediate impact on the call rate, which is effectively the operating target of monetary policy, of a change in the liquidity situation. The strengthening of transmission was visible across a  BIS central bankers’ speeches  3  variety of financial market segments. Charts 9 and Chart 10 provide some illustrative evidence of this.
4  See, among others, G. Dell’Ariccia, D. Igan and L. Laevan, “Credit Booms and Lending Standards: Evidence from the Subprime Mortgage Market”, IMF Working Paper, No 08/106, IMF, 2008; and A. Maddaloni and J.-L. Peydro, “Bank Risk-Taking, Securitization, Supervision, and Low Interest Rates: Evidence from Lending Standards”, ECB Working Paper No. 1248, October 2010.