The history of money has always been intertwined with the history of banking. Nevertheless, very few papers have … literatures. I present three theories of money and banking, each generating results that are drastically different from those of … the traditional banking models without microfoundations for money. Chapter 1 addresses the problem of monitoring the …

This paper examines the competition between money and credit in a search model with divisible commodities. It is shown … that flat money can be valuable even though it yields a lower rate of return than the coexisting credit. The competition … between money and credit increases efficiency. The monetary equilibrium with credit Pareto dominates the monetary equilibrium …

matches. In a fraction of matches, buyers can use unmatured bonds together with money to purchase goods. In other matches, a …

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 …

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 …

We examine a search money model in which there is a symmetric coincidence of wants in all barter matches. However, when … provided that money holders enjoy adequate bargaining terms. Fiat money may be welfare inproving. In contrast to the literature …

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 …