to preferences for current consumption consistently induce large, persistent, and statistically significant shifts in the …

The 1987 stock market crash occurred with minimal impact on observable economic variables (e.g., consumption), yet …. The representative agent is endowed with Epstein-Zin preferences and the aggregate dividend and consumption processes are … shortmaturity at-the-money and deep out-of-the-money S&P 500 put options, as well as the prices of individual stock options. Further …

Previous studies have shown that a random-matching model with divisible at money and without constraint on agents …' money inventories possesses a continuum of stationary single-price equilibria. Wallace [7] conjectured that the … indeterminacy can be eliminated by the use of commodity money, just as the elimination of the contin- uum of dynamic (non …

, price-setting conduct. Money is modeled as perfectly divisible and there is no constraint on agents' money inventories. In … such an environment with discounting, the endogenous heterogeneity of money balances among agents implies differences in … marginal valuation of money between distinct pairs of traders, which raises the question whether decentralized trade would …

of goods in that environment to be conducted on spot markets where those goods trade for money. We prove a conjecture … trade using outside, fiat money, of a recent characterization by Levine and Zame [2002] of environments in which spot trade … using inside money, in the form of one-period debt payable in a commodity, is nearly Pareto efficient. We also study a …