markets under limited commitment and private information. The analysis demonstrates clearly how insurance, credit, and money …Lagos and Wright (2005) demonstrate how the essential properties of a money-search model are preserved in an … innovation can be applied to closely related environments used elsewhere in the literature that study insurance and credit …

This paper develops an analytically tractable Bewley model of money demand to shed light on some important questions in … monetary theory, such as the welfare cost of inflation. It is shown that when money is a vital form of liquidity to meet … best match both the aggregate money demand curve suggested by Lucas (2000) and the variance of household consumption …

financial variables support the use of credit spreads to identify asymmetries in the responses of economic activity and prices …

This paper investigates the relationship between money growth, inflation, and productive activity in a general … equilibrium model where search frictions motivate the transactions role of money. The use of a multiple matching technique, where …-theoretic environment with divisible money and goods. We find that in such a setting, a positive feedback between work and shopping effort …

inside and outside money does and does not allow the economy to achieve a first-best allocation of resources. We also study …

inside and outside money does and does not allow the economy to achieve a first-best allocation of resources. We also study …

frictions giving rise to money as a medium of exchange are explicitly modeled. The framework is a three period OLG model where … production efficiency in the search market. In the absence of record-keeping, the government uses flat money as a substitute for … distortionary taxation of money may be needed as part of the optimal policy even if lump-sum taxes are available. …

We study the effects of money (anticipated inflation) on capital formation. Previous papers on this topic adopt reduced …-form approaches, putting money in the utility function or imposing cash in advance, but use otherwise frictionless models. We follow a … literature that is more explicit about the frictions making money essential. This introduces several new elements, including a …