Purpose This paper aims to discuss the money creation mechanisms in emerging markets with special focus on external transactions and outlines the implications for monetary policy and financial stability issues. Design/methodology/approach To make the argument, the authors analyze a historical...

Purpose: This study aims to examine a potential case of interdependence in loan and deposit interest rate setting. Design/methodology/approach: The authors set up a theoretical microsimulation model with endogenous loan interest rate determination via a learning algorithm. Findings: The authors...