The study looked at how changes in rules for banks and monetary policy affect small businesses in the UK. They found that when banks had to keep more money on hand, some businesses borrowed less and invested less. This was especially true for businesses with short relationships with their banks. Long relationships with banks helped lessen the impact of these changes. Monetary policy changes also affected businesses, but not as much as capital requirement changes. The two policies did not cancel each other out, but their effects depended on how much money banks had and how creditworthy businesses were.