Working Paper

Creditor recovery: the macroeconomic dependence of industry equilibrium


Abstract: This paper reconciles industry conditions with the state of the economy in driving asset liquidation values and, therefore, recovery rates on defaulted debt securities. Macroeconomic effects matter but they operate differentially at the industry level.

Keywords: Credit; Risk; Business cycles;

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File(s): File format is application/pdf https://www.kansascityfed.org/documents/7709/rwp13-06.pdf

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Bibliographic Information

Provider: Federal Reserve Bank of Kansas City

Part of Series: Research Working Paper

Publication Date: 2013

Number: RWP 13-06