Fundamental models of money always exhibit autarkic equilibria where money has no value. In this paper we propose a … behavior and the primitives of the economy, thus offering insights on the conditions under which money emerges as a medium of … exchange. Overall, our results favour money over autarky, especially if agents are patient. …

money and inflation. When analysing the full sample of countries we find a strong positive relation between the long …-run inflation and money growth rate. The relation is not, however, proportional. The strong link between inflation and money growth … inflation and money growth for low inflation countries (on average less than 10% per annum over the last 30 years) is weak. We …

-sharing due to search frictions implies that ‘good’ jobs which have higher creation costs must pay higher wages. This wage …

or more of the posted wages, i.e. search, before deciding where to apply. Both with homogeneous and heterogeneous forms …, equilibrium wage dispersion is necessary for the economy to approximate efficiency. Without wage dispersion, workers do not search …, and wages are depressed. As a result: (a) there is excessive entry of firms; and (b) because, in the absence of search …

We develop a model of search among substitutes for the best combination of commodity variant and price, in which the … structure of search costs can be manipulated by the suppliers of these variants, e.g. by joining an existing market or opening a …