Berentsen, Aleksander; Rocheteau, Guillaume - In: Review of Economic Studies 71 (2004) 4, pp. 915-944
This paper investigates the role of money in markets in which producers haveprivate information about the quality of the goods they supply. When the fractionof high-quality producers in the economy is given, money promotes the productionof high-quality goods, which improves the quality mix and...