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for understanding the modern economy. The focus of this volume is the money prices of commodities. In light of the failure … mainstream approach to the explanation of prices. Howard Nicholas underlines the shortcomings of this and other approaches to the … explanation of prices, particularly their concepts of the value of the commodity and money. He argues the problems with all other …
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In the canonical monetary policy model, money is endogenous to the optimal path for interest rates and output. But when liquidity provision by banks dominates the demand for transactions money from the real economy, money is likely to contain information for future output and inflation because...
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The paper models the interaction between risk taking in the financial sector and central bank policy. It shows that in the absence of central bank intervention, the incentive of financial intermediaries to free ride on liquidity in good states may result in excessively low liquidity in bad...
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