The Effect of Tight Credit on the Real Estate Market
Posted on November 13, 2009
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A tight credit policy by the central bank of a country usually means that the lending regulations are strict; liquidity in the system is not adequate to allow the free flow of credit. A tight credit policy would mean that banks are extremely cautious on lending. A very easy way to determine whether banks are following easy or tight credit policy is to look at the numbers related amount of money lent to businesses and households which is regularly published by FED.
Source:The Effect of Tight Credit on the Real Estate Market
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