Capital expenses for infrastructure construction at the federal, state, and local levels should be financed through a self-capitalized national infrastructure bank lending at zero-interest.
He said demand for knock-down-and-rebuild land sites had come off the boil, and tougher bank lending practices were affecting a broad spectrum of buyers.
A portion of the funds involved in saving and financing, flows directly to the financial markets instead of being routed via the traditional bank lending and deposit operations.
The credit channelor, equivalently, changes in the external finance premiumcan occur through two conduits: the balance sheet channel and the bank lending channel.
