14  See Bronzini, R., Caramellino, G., and Magri, S., ‘Venture capitalists at work: what are the effects on the firms they finance?’, Banca d’Italia, Temi di discussione (Working Papers), 1131, 2017. 15  See Magri, S., ‘Does issuing equities help R&D activity? Evidence from unlisted Italian high-tech manufacturing firms’, Banca d’Italia, Temi di discussione (Working Papers), 978, 2014.
The repricing of risk I mentioned earlier was, in fact, under way before August. By late spring, the spreads on lower-rated corporate bonds had begun to widen to levels closer to historical averages. As we moved into summer, however, we saw rising delinquency rates and higher probabilities of default on U.S. subprime mortgages.