Showing 1 - 10 of 14
We present a thought-provoking study of two monetary models: the cash-in-advance and the Lagos and Wright (2005) models. We report that the different approach to modeling money - reduced-form vs. explicit role - neither induces theoretical nor quantitative differences in results. Given...
Persistent link: https://www.econbiz.de/10010226599
Persistent link: https://www.econbiz.de/10010466629
We present a thought-provoking study of two monetary models: the cash-in-advance and the Lagos and Wright (2005) models. We report that the different approach to modeling money - reduced-form vs. explicit role - neither induces theoretical nor quantitative differences in results. Given...
Persistent link: https://www.econbiz.de/10010327818
We examine two monetary models with periodic interactions in centralized and decentralized markets: the cash-in-advance model and the model in Lagos and Wright (2005). Given conformity of preferences, technologies and shocks, both models reduce to a single di?erence equation. In stationary...
Persistent link: https://www.econbiz.de/10010817429
We present a thought-provoking study of two monetary models: the cash-in-advance and the Lagos and Wright (2005) models. We report that the different approach to modeling money - reduced-form vs. explicit role - neither induces theoretical nor quantitative differences in results. Given...
Persistent link: https://www.econbiz.de/10010955119
We analyze how the preference structure and the structure of production possibilities in the monetary economy can lead to a variety of distributions of special and standard goods produced in the economy
Persistent link: https://www.econbiz.de/10005048004
This paper studies the long run effects of monetary policy in a micro-founded model with trading frictions and endogenous market segmentation. Agents must pay a fixed cost to participate in a centralized liquidity market. By endogenizing the participation decision, this model endogenizes the...
Persistent link: https://www.econbiz.de/10005090797
Persistent link: https://www.econbiz.de/10005090845
This paper studies the long-run effects of anticipated inflation on output and welfare within a search-theoretic framework. We allow money-holders to choose the intensities with which they search for trading partners, so the frequency of trades is endogenous. We consider the standard pricing...
Persistent link: https://www.econbiz.de/10005090891
This paper investigates the welfare and output effects of inflation in a monetary economy with search frictions and sticky prices. Agents trade in both a centralized Walrasian market and a decentralized search market. Trade has two dimensions: the frequency of trades (how often agents trade) and...
Persistent link: https://www.econbiz.de/10005069481