. Specifically, they characterize the optimal return on money in the presence of credit arrangements. There is a dual role for credit …: It allows buyers to trade without fiat money and also permits them to borrow against future income. However, not all … traders have access to credit. As a result, there is a social role for fiat money because it allows agents to self …

mortgage interest payments were not tax deductible. Temporarily higher inflation might have lowered the foreclosure rate as …

money and unrestricted money holdings. He shows that when trade takes place in Walrasian markets, counterfeits circulate and …

Greater Philadelphia Chamber of Commerce<p> President Charles Plosser gives his views on economic growth, inflation …

private money creation. Precisely, there is a continuum of equilibria characterized by a self-fulfilling collapse of the value … of private money and a persistent decline in the demand for money. I associate these equilibrium allocations with self … the property that the value of private money remains stable. Thus, the goal of monetary stability necessarily requires …