Financial cycles and the credit market in Brazil during the 2000s

<p></p><p>Abstract This study aims to analyze the behavior of Brazilian state-owned banks during the global financial crisis and its aftermath. In this regard, it employs time-series econometrics, based on the MS-DR and VEC models. Evidence was found suggesting that the credit originated in state-owned banks showed counter-cyclical characteristics; while private banks behaved in a typically procyclical manner.</p><p></p>