@techreport{NBERw4211,
 title = "Credit Conditions and the Cyclical Behavior of Inventories: A Case Studyof the 1981-82 Recession",
 author = "Anil K Kashyap and Owen A. Lamont and Jeremy C. Stein",
 institution = "National Bureau of Economic Research",
 type = "Working Paper",
 series = "Working Paper Series",
 number = "4211",
 year = "1992",
 month = "November",
 URL = "http://www.nber.org/papers/w4211",
 abstract = {This paper examines micro data on U.S. firms' inventories during different macroeconomic episodes. Much of the analysis focuses on the 1981-82 recession, a recession that was apparently precipitated by tight monetary policy. We find important cross-sectional effects in this period: firms that were "bank-dependent" were much more prone to shed inventories than their non-bank-dependent counterparts. In contrast, such cross-sectional differences are largely absent during a period of "loose" monetary policy later in the 1980s. Our findings are consistent with the view that 1) there is a bank lending channel of monetary policy transmission; 2) the lending channel is likely to be particularly important in explaining inventory fluctuations during downturns.},
}