This paper develops a liquidity measure tailored to the foreign exchange (FX) market, quanties the amount of … commonality in liquidity across dierent exchange rates, and determines theextent of liquidity risk premiums embedded in FX returns …. The new liquidity measure utilizesultra high frequency data and captures cross-sectional and temporal variation in FX …

as liquidity in the stock market is reduced atthe same time as interest rates increase. …

This paper extends a New Keynesian model to include roles for currency and depositsas competing sources of liquidity …

optimal payments system design. In our environment, the interestcharged on overnight liquidity a¤ects output while the cost of … intraday liquidity onlyaffects the distribution of resources between money holders and non-money holders.The low cost of … intraday liquidity follows from the Friedman rule and it is optimalto deviate from the the Friedman rule with respect to …

The aim of this note is to provide an overview of various measures of “excess liquidity”,which can be defined as the … deviation of the actual stock of money from an estimated equilibriumlevel. Given their dynamic nature, the excess liquidity … pricepressures. In addition, excess liquidity measures consider inflation as a purely monetary phenomenon:neither the “output gap …

Global liquidity expansion has been very dynamic since 2001. Contrary to conventionalwisdom, high money growth rates …

foreign affiliatesto help smooth domestic liquidity shocks. We also show that the existence of suchinternal capital markets …