Showing 1 - 10 of 49
gains from trades due to differences in technologies and endowments, and the terms of trade are determined through a simple … subject to a private information problem. The asset plays the role of a medium of exchange, but this role can be affected by … information, a set of experiments with adverse selection where the terminal value of notes are determined exogenously, and a set …
Persistent link: https://www.econbiz.de/10010316877
gains from trades due to differences in technologies and endowments, and the terms of trade are determined through a simple … subject to a private information problem. The asset plays the role of a medium of exchange, but this role can be affected by … information, a set of experiments with adverse selection where the terminal value of notes are determined exogenously, and a set …
Persistent link: https://www.econbiz.de/10010817295
gains from trades due to differences in technologies and endowments, and the terms of trade are determined through a simple … subject to a private information problem. The asset plays the role of a medium of exchange, but this role can be affected by … information, a set of experiments with adverse selection where the terminal value of notes are determined exogenously, and a set …
Persistent link: https://www.econbiz.de/10009763984
: double-coincidence frictions and information frictions. For both types of frictions, money enlarges the sets of incentive …-feasible if the real stock of money is sufficiently high. In contrast, in environements with information frictions, the first … information. …
Persistent link: https://www.econbiz.de/10005427422
not too large. It is shown that the gains from trade in the monetary economy are strictly greater than those in the …
Persistent link: https://www.econbiz.de/10005463533
This paper studies the relationship between the availability of unsecured credit to households and unemployment. We extend the Mortensen-Pissarides model to include a goods market with search and financial frictions. Households, who have limited commitment, face endogenous borrowing constraints...
Persistent link: https://www.econbiz.de/10011160660
We develop a two-sector search-matching model of the labor market with imperfect mobility of workers, augmented to incorporate a housing market and a frictional goods market. Homeowners use home equity as collateral to finance idiosyncratic consumption opportunities. A financial innovation that...
Persistent link: https://www.econbiz.de/10011082685
that the indivisibility of money introduces in efficiencies into the formation of the terms of trade that are not present … preference asymmetry is not too large, they exchange efficient quantities. Moreover, we demonstrate that the terms of trade are …
Persistent link: https://www.econbiz.de/10011187107
This article addresses the difficulty introducing a new currency into a domestic economy. The aim is to study how a government can influence private agents in their decision to accept, or reject a new fiat currency. Different historical examples teach us that some conditions must be fulfilled...
Persistent link: https://www.econbiz.de/10011187263
determine prices, and our model, which utilizes the concept of competitive search in which dealers post terms of trade. Finally …
Persistent link: https://www.econbiz.de/10010951340