The Effects of Macroprudential Policies on Research and Development Expenditure - A System GMM Approach
Preliminary firm level evidence suggests that macroprudential policies reduce firm credit growth and MSME investment, and could therefore have a negative impact on economic growth. However, the question remains if macroprudential policies affect R\&D investments as well. Although R&D is primarily financed internally, the literature also suggests that debt financing may be used to some degr