Tumen, Semih - Türkiye Cumhuriyet Merkez Bankası - 2010
This paper analyzes the market for checks using the monopoly problem as an approximation. The need for such an analysis … banks are legally responsible to pay per bad check. We show that banks will tend to restrict the quantity of checks as a ….7% decline in the total supply of checks on the margin. We establish that the extent of the monopoly distortion depends on three …