money but it is the organising feature of modern economies, giving rise to both episodes of stability and crises. In … constructing this argument I consider both orthodox and heterodox points of view. We analyse equilibrium models of money, and find … that while money can exist in sequence economies with frictions, models of this type give no justification for its creation …

goods firms and capital goods firms)and as an innovation a banking system, a central bank and a monetarycircuit. Thereby …, the central bank controls the business cycle via aninterest rate policy; the according mechanism builds on the seminal … ideaof Knut Wicksell (natural rate of interest vs. money rate of interest). Inaddition, the model contains also many …

-setting behaviour in a New Keynesian model.As the decision of a central bank is made in an uncertain environment, the analysis of … central bank, and for different assumptions on private sector behaviour. Model dynamics are shown for the benchmark model, for … von gestörten Modellen um das Referenzmodell und wählt die optimale Geldpolitik so, dass diese im ungünstigsten Modellfall …

monetary policy.Chapter 1 studies the choice of endogenous means of payment when holding money is risky. In steady state … interest rate. Credit may be used when the return on money is not positive. A positive money injection reduces the crime rate … households exchange money for interest-bearing government nominal bonds in the asset market. The government injects money through …

dollarization. Data from the World Bank World Development Indicators for 21 Latin American countries from 1960 to 2003 are analyzed …

non trivial investment decisions Allowing for two goods Introducing money Introducing price setting Introducing staggering …

for non trivial investment decisions; Allowing for two goods; Introducing money; Introducing price setting; Introducing …

formulated theory of world money, it is shown that there is presently no alternative to a flexible exchange rate system. This …