Using an existing random matching model of money, I show that a once-for-all change in the quantity of money has short …) the quantity of money is random and (ii) people learn about what happened to it only with a lag. The change in the … quantity of money comes about through a random process of discovery that does not permit anyone to deduce the aggregate amount …

A distinction is drawn between outside money - money that is either of a fiat nature or backed by some asset that is … not in zero net supply within the private sector - and inside money, which is an asset backed by any form of private …

This paper analyzes the effects of money injections on interest rates and exchange rates in a model in which agents … must pay a Baumol-Tobin style fixed cost to exchange bonds and money. Asset markets are endogenously segmented because this … fixed cost leads agents to trade bonds and money only infrequently. When the government injects money through an open market …

We study economies where government currency and electronic money, drawn from interest bearing deposits in private … policies, and the legal restrictions in the form of reserve requirements on financial intermediaries. Electronic money … maximizes households preferences, in which case, electronic money competition may either have no role, or weaken the incentive …

Two mechanisms are considered through which money can play a role in a real business cycle model. One is in the form of … money and leisure. This mechanism leads to price fluctuations even when the nominal money stock does not fluctuate. As is …