Bhattacharya, Joydeep; Haslag, Joseph; Russell, Steven - Department of Economics, Iowa State University - 2004
In models of money with an infinitely-lived representative agent (ILRA models), the optimal monetary policy is almost always the Friedman rule. Overlapping generations (OG) models are different: in this paper, we study how they are different, and why. We investigate the welfare properties of...