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When agents are liquidity constrained, two options exist — sell assets or borrow. We compare the allocations arising in …
Persistent link: https://www.econbiz.de/10008799751
Channel systems for conducting monetary policy are becoming increasingly popular. Despite their popularity, the consequences of implementing policy with a channel system are not well understood. We develop a general equilibrium framework of a channel system and investigate the optimal policy. A...
Persistent link: https://www.econbiz.de/10005181445
this result in a dynamic general equilibrium model where market participants have heterogeneous liquidity needs and where …
Persistent link: https://www.econbiz.de/10008799746