Showing 1 - 10 of 12
The paper sets out a monetary business cycle model extended to include the production of credit that serves as an alternative to money in transactions and is subject to productivity shocks. The model provides some improvement on certain puzzles, in particular by capturing the procyclic movements...
Persistent link: https://www.econbiz.de/10004970344
Persistent link: https://www.econbiz.de/10005069376
This paper investigates the welfare and output effects of inflation in a monetary economy with search frictions and sticky prices. Agents trade in both a centralized Walrasian market and a decentralized search market. Trade has two dimensions: the frequency of trades (how often agents trade) and...
Persistent link: https://www.econbiz.de/10005069481
Modelling corruption explicitly in this paper produces changes in the predictions about how taxes affect the size of the "underground", non-market, or shadow, economy. Instead of inducing shifts towards the non-market good as in standard models without explicit corruption, here government tax...
Persistent link: https://www.econbiz.de/10005090791
This paper studies the long run effects of monetary policy in a micro-founded model with trading frictions and endogenous market segmentation. Agents must pay a fixed cost to participate in a centralized liquidity market. By endogenizing the participation decision, this model endogenizes the...
Persistent link: https://www.econbiz.de/10005090797
Persistent link: https://www.econbiz.de/10005090830
Persistent link: https://www.econbiz.de/10005090845
Persistent link: https://www.econbiz.de/10005090864
This paper studies the long-run effects of anticipated inflation on output and welfare within a search-theoretic framework. We allow money-holders to choose the intensities with which they search for trading partners, so the frequency of trades is endogenous. We consider the standard pricing...
Persistent link: https://www.econbiz.de/10005090891
Persistent link: https://www.econbiz.de/10005051323