interest-rate rule, and the money market and financial institutions are typically not even modeled. Critics contend that these …-Wicksellian model and then adds banks and a role for bonds in the liquidity management of households and banks. The Banks and Bonds …

case, the optimal steady state is characterized by a constant nominal money supply …

This paper examines the implications of an endogenous money supply for the perceived(by econometricians) and actual … nonneutrality of money in rational expectations models of the class put forward by Lucas (1972, 1973) and Barro(1976, 1980) that … King (1981) and Boschen-Grossman (1983).Thus, an econometrician might erroneously conclude that money is nonneutral ina …

among money, credit and nonfinancial economic activity. Data for the United States since World War II show that the volume … of outstanding credit is as closely related to economic activity as is the stock of money, and moreover that neither … money nor credit is sufficient to account fully for the effect of financial markets in determining real economic activity …

monetary and macroeconomics made in Don Patinkin's Money, Interest, and Prices (MIP). Its first accomplishment was to settle … of the Keynesian system, and the requirements for the neutrality of money, which had been disputed for decades. It also …

model presented extends the theory of King and Plosser by recognizing that both money and trade credit provide transactions … services. The model shows that the comovements between money and trade credit can reveal the nature of the underlying shocks …This paper tests the importance of technology shocks versus financial shocks for explaining, fluctuations in money. The …

Standard models of aggregate demand treat money and credit asymmetrically; money is given a special status, while loans … policy implication is that the relative value of money and credit as policy indicators depends on the variances of shocks to … money and credit demand. We present some evidence that money-demand shocks have become more important relative to credit …