Geanakoplos, John; Dubey, Pradeep - Cowles Foundation for Research in Economics, Yale University - 1989
We enlarge the standard model of general equilibrium with incomplete market (GEI), to incorporate liquidity constraints … as well as the possibility of bankruptcy and default. A new equilibrium results, which we abbreviate GELBI (general … equilibrium with liquidity, bankruptcy and incomplete markets). When the supply of bank money and bankruptcy/default penalties are …