<title>Abstract</title> By granting credit and issuing money, banks take a liquidity risk - that is, the risk of being unable to reimburse its notes in coins. Five different explanations of a bank liquidity crisis have been provided by different authors, since John Law and up to Walter Bagehot. First,...

<title>Abstract</title> In 1911, Fisher published <italic>The Purchasing Power of Money</italic>. In chapter 13 of the first edition and in an appendix in the second section of 1913, he introduced a rule to maintain the stability of the level of prices, known as the “compensated dollar”. According to this rule, the legal...

We show that the equilibrium in a Keynesian model with as many equations as markets is undetermined. This is because the equation for the labor market does not contribute to the determination of the equilibrium : the Walras?s law holds only for markets for goods, assets and cash balance. For an...