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In a simple cash-credit model, I study the effects of the combination of costly tax collection and tax evasion on fiscal and monetary policy for optimal resource allocation. Allowing the informal sector to use cash more intensively than the formal sector, I compute the optimal interest and tax...
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perceived savings constraints of macroprudential policy measures introduced by the Central Bank of Ireland in early 2015. These … for those seeking to engage in homeownership. Using a unique, nationally representative survey of households' savings … their savings decisions. Credit constraints and consumer inattention are proposed as explanatory channels for this …
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