This paper develops a model of the public and private provision of liquidity and its relation to unemployment. We … provision of liquidity to the OTC market and the need to keep the cost of financing firms low. When the unemployment is … a result, the real interest rate is endogenous and depends on the financing needs of firms, the liquidity needs of OTC …

the international allocation of economic activity. Private assets’ liquidity properties - their usefulness as collateral … entry, production, aggregate productivity, and total market capitalization. In a closed economy, the liquidity market …, cross-country differences in financial development|as measured by the degree of liquidity of a country’s assets - generate …

create a vicious circle of depreciation and rising domestic prices, and about the roles played by the natural unemployment …

s measured by the degree of liquidity of a country’s assets - generate an allocation of real economic activity that …