I highlight the importance of the distributional aspects of money's divisibility by comparing a search-theoretic model … with random transfers of indivisible money balances, to one with deterministic transfers of partially divisible balances …. Randomization allows price flexibility, as if money were fully divisible. Partial divisibility does not, but allows money …

unemployment is higher. We show that these correlations arise in a standard monetary search model with two shocks - productivity …

simultaneous search or any heterogeneity in preferences, production costs, or search technologies. A distribution of money holdings … price distribution, in turn, makes buyers indifferent across a range of money balances, rationalizing the non …-degenerate distribution of money holdings. We completely characterize the distribution of posted prices and money holdings in any equilibrium …

This paper investigates the possibility that wealth (holdings of money) serves as a signal of ability to produce high …

This paper investigates the possibility that wealth (holdings of money) serves as a signal of ability to produce high … would otherwise arise. -- Random matching ; Money holdings ; Signaling ; Distribution of wealth ; Welfare ; Divisible money …

This note uses monotone methods to derive two sets of comparative statics results for monetary directed search models …, regardless of the choice of matching function. Second, the seller-to-buyer ratio, output level and money demand increase as the … matching function becomes more efficient in a log-supermodular sense. I also consider an extension with endogenous search …

economic activities. This policy is analyzed in a search-theoretic model where individuals choose legal or illegal production …

is available. Agents choose between two trading sectors: the search and the intermediated sector. In the former, trade … double-coincidence matches. Multiple equilibria exist with the extent of costly matching endogenously determined. Money and …