Hortlund, Per - Economics Institute for Research (SIR), … - 2005
were made).
Keywords: Free banking, Elastic currency, Asset currency, Clearing
mechanism, Note competition, Needs of …, they could expand and contract their note issues
with the “needs of trade”, particularly in October.
Since central banks …
banks able to provide liquidity and accommodate the “needs
of trade”? Selgin and White (1994) show how elastic the Ca …