This paper studies Carl Menger's theory of the emergence of a commodity money. We propose an interpretation of Menger …'s learning by imitation process based on the search theoretical formal framework. We show that there exists a tension between the … the role of imitation in the emergence of monetary equilibria in search theory. We conclude that Menger's approach may …

Existing search-theoretical model of money have in general abstracted from the existence and accumulation of other … explicitly modeled. Trade frictions in a decentralized consumption goods market give rise to an endogenous role for money …

This paper studies the launching of a new fiat currency within a search-theoretic framework. We show that legal tender …

: double-coincidence frictions and information frictions. For both types of frictions, money enlarges the sets of incentive …-feasible if the real stock of money is sufficiently high. In contrast, in environements with information frictions, the first …-best allocation is never incentivefeasible regardless of the real stock of money. These results highlight a fundamental difference …

by considering randomized monetary trades in a standard search-theoretic model of money where agents can hold multiple …We construct a tractable model of divisible money and equilibrium heterogeneity in money balances and prices. We do so … observed in numerically simulated economies with fully divisible money and price heterogeneity. …

This paper studies the role of money in environments where in each meeting there is a double coincidence of real wants …. Traders who meet at random finance their purchases through current production, the sale of divisible money or both. It is … shown that in the absence of valued money if traders have asymmetric tastes for each other’s good, they produce and exchange …

In a simple search model of money, we study a special kind of memory which gives rise to an arrangement resembling a …

This paper integrates monetary search theory with limited participation to analyze the liquidity effect of open market … matches. In a fraction of matches, buyers can use unmatured bonds together with money to purchase goods. In other matches, a …

We construct a search-theoretic model where fiat money coexists with real assets, and all assets can be used as a media … facts: (i) fiat money can be valued despite being dominated in its rate of return; (ii) real assets with identical dividend …