We construct and analyze a tractable search model of money with a non-degenerate distribution of money holdings … and provide conditions under which the steady-state distribution of buyers over money balances is non-degenerate. Moreover …

differences in relative prices can be explained as well by real factors. Thus the core theme of the paper: 'money matters', though …

fruitful analysis by Lucas (1990). I construct two search models, in which fiat money coexists in equilibrium with default …-free nominal bonds issued by the government, and then use the models to analyze the effects of money growth and open market … operations. In the first model, matured bonds circulate in the goods market as perfect substitutes for money and there are a …

This paper advances a highly tractable model with search theoretic foundations for money and neoclassical growth. In … bilateral trading, in ation depresses capital and output and has a negligible effecton welfare. (Keywords: search, money …, commerce, in ation, neoclassical production, capital accumulation, optimum quantity of money.) …

decentralized goods market features bilateral matches. Unmatured bonds can be used together with money to purchase goods in a …<92>s money allocation between the two markets, affect real output and the term structure of interest rates, and cause …

. We show that the same frictions that give fiat money a positive value generate an inefficient quantity of goods in each …

capitalism': namely, that the inflationary forces of the Price Revolution era produced a widening gap between prices and wages … was its enthusiastic endorsement by John Maynard Keynes, in his Treatise of Money, published the following year, in 1930 …

induces optimal money growth to be above the Friedman rule. …

This paper advances a model which can account for these five prominent facts of monetary economics. (i) Money is held …). The model is designed to capture three features of reality, which form the basis for modeling money as a dominated asset …: Income and expenditures by households and firms are not synchronized. Money is used to transfer income from the time it is …

Postan, this paper seeks to prove that 'money mattered', and in particular that the oscillations in price levels (as measured … monetary changes, both in money stocks and flows. The evidence, in both tables and graphs, will demonstrate that the prices for … coinage debasements. Money does indeed matter. …