allows for financial intermediaries; and a case with trading frictions. Although intitutions/frictions are shown to have a … the idiosyncratic behavior of money demand. The variants with no trading frictions display the best fit to U.S. post …

this paper, I argue that information dispersion about the future states of the economy combined with trading frictions in … and trading frictions. In this setting, I study the policy implications of the theory and I find that subsidizing …

real estate appraisals, thus reducing the “gap” between practitioners and academicians. Due to relevant trading frictions … frictions in the housing market. Precisely, the higher the trading frictions on the demand side (more buyers and less sellers …), the higher the actual selling price (the price adjustment is positive), whereas the higher the trading frictions on the …

II) from a microstructure angle. We show that trading frictions, as measured by the relative spread, information …