between liquidity, production, and inequality in income and in welfare, in economies where assets fetch different returns and … experiments evaluate the propagation mechanism of shocks that hit the assets.returns. A key result is that trade and liquidity …

We develop a search-theory of asset liquidity which gives rise to endogenous financing constraints on investment in an … otherwise standard dynamic general equilibrium model. Asset liquidity describes the ease of issuance and resaleability of … financial intermediaries. Limited liquidity of private claims creates a role for liquid assets, such as government bonds, to …

We endogenize asset liquidity in a dynamic general equilibrium model with search frictions on asset markets. In the … model, asset liquidity is tantamount to the ease of issuance and resaleability of private financial claims, which is driven … by investors' participation on the search market. Limited market liquidity of private claims creates a role for liquid …

hold primary assets to maximize depositors' utility. If banks' operating costs are small, banks reallocate liquidity …