Download or read book Money in the Cash in advance Model written by Donald Keith Sill and published by . This book was released on 1992 with total page 282 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book The Variability of Money Velocity in a Generalized Cash in advance Model written by Hugo Rodríguez Mendizábal and published by . This book was released on 1998 with total page 51 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book Some Empirical Evidence on Money Demand from a Cash in Advance Model written by Keith Sill and published by . This book was released on 1995 with total page 40 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book The Variability of Money Velocity in a Generalized Cash in advance Model written by Hugo Rodríguez (Assistant Professor.) and published by . This book was released on 1998 with total page 51 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book The Variability of Money Velocity in a Generalized Cash in advance Model written by Hugo Rodríguez and published by . This book was released on 1998 with total page 52 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book Monetary Theory and Policy written by Carl E. Walsh and published by MIT Press. This book was released on 2003 with total page 636 pages. Available in PDF, EPUB and Kindle. Book excerpt: An overview of recent theoretical and policy-related developments in monetary economics.

Download or read book Money and Interest in a Cash in Advance Economy written by Nancy L. Stokey and published by . This book was released on 1987 with total page pages. Available in PDF, EPUB and Kindle. Book excerpt: In this paper we analyze an aggregative general equilibrimi model in which the use of money is motivated by a cash-in-advance constraint, applied to purchases of a subset of consumption goods. The system is subject to both real and monetary shocks, which are economy-wide and observed by all. We develop methods for verifying the existence of, characterizing, and explicitly calculating equilibria. A main result of the analysis is that current money growth affects the current real allocation only insofar as it affects expectations about future money growth, i.e., only through its value as a signal

Download or read book An Empirical Investigation of Money Demand in the Cash in Advance Model Framework written by Keith Sill and published by . This book was released on 1992 with total page 54 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book Cash in Advance Framework Against the Quantity Theory of Money written by Kwangwon Ahn and published by . This book was released on 2015 with total page 20 pages. Available in PDF, EPUB and Kindle. Book excerpt: This article revisits the Lucas illustration of the Quantity Theory of Money (QTM) and investigates whether it holds in the US monetary market. The findings confirm that QTM does not hold in the short run and the Cash-in-Advance (CIA) model fails to replicate these empirical results because the economy under the CIA framework reacts too quickly to monetary shocks. To correct for this failure, this article incorporates the financial intermediary and default as an equilibrium phenomenon into the original CIA model. The results suggest that the modified CIA model fits the short-run QTM abnormality better compared to the original model.

Download or read book Dynamic Behavior of Capital Accumulation in a Cash in advance Model written by Andrew B. Abel and published by . This book was released on 1985 with total page 26 pages. Available in PDF, EPUB and Kindle. Book excerpt: This paper analyzes the dynamic behavior of capital accumulationin Stockman's (1981) cash-in-advance model. If the cash-in-advance constraint applies only to consuittion, then money is superneutral along the transition path as well as in the long run. Alternatively, if the cash-in-advance constraint applies to gross investment as well as consumption, then a permanent increase in the rate of monetary growth reduces the steady state capital stock. The effect on the speed of adjustment depends on the sign of a certain simple function of the parameters of preferences and technology

Download or read book Money Demand written by Max Gillman and published by . This book was released on 2008 with total page 0 pages. Available in PDF, EPUB and Kindle. Book excerpt: The paper presents a theory of the demand for money that combines a special case of the shopping time exchange economy with the cash-in-advance framework. The model predicts that both higher inflation and financial innovation - that reduces the cost of credit - induces agents to substitute away from money towards exchange credit. This results in an interest elasticity of money that rises with the inflation rate rather than the constant elasticity found in standard shopping time specifications. A number of the key predictions of the banking time theory are tested using quarterly data for the US and Australia. We find empirical support for some aspects of the model.

Download or read book Survey of Literature on Demand for Money written by Mr.Subramanian S. Sriram and published by International Monetary Fund. This book was released on 1999-05-01 with total page 78 pages. Available in PDF, EPUB and Kindle. Book excerpt: A stable money demand forms the cornerstone in formulating and conducting monetary policy. Consequently, numerous theoretical and empirical studies have been conducted in both industrial and developing countries to evaluate the determinants and the stability of the money demand function. This paper briefly reviews the theoretical work, tracing the contributions of several researchers beginning from the classical economists, and explains relevant empirical issues in modeling and estimating money demand functions. Notably, it summarizes the salient features of a number of recent studies that applied cointegration/error-correction models in the 1990s, and it features a bibliography to aid in research on demand for money.

Download or read book The Variability of Velocity in Cash in Advance Models written by Robert J. Hodrick and published by . This book was released on 2008 with total page 49 pages. Available in PDF, EPUB and Kindle. Book excerpt: Early cash-in-advance models have the feature that the cash-in-advance constraint always binds, implying that the velocity of money is constant. Lucas (1984) and Svensson (1985) propose a change in information structure that potentially allows velocity to vary. By calibrating a version of these models using a new solution algorithm, and using U.S. time series data on consumption growth and money growth, we find that in practice the cash-in-advance constraint almost always binds. This result is robust to changes in the forcing process, the inclusion of credit goods along with cash goods, various preference specifications, and changes in the precision of the agents' information. We conclude that there is little practical gain in using these more complicated informational specifications in future applications of a cash-in-advance technology.

Download or read book The Variability of Velocity in Cash in advance Models written by Robert J. Hodrick and published by . This book was released on 1989 with total page 45 pages. Available in PDF, EPUB and Kindle. Book excerpt: Early cash-in-advance models have the feature that the cash-in-advance constraint always binds, implying that the velocity of money is constant. Lucas (1984) and Svensson (1985) propose a change in information structure that potentially allows velocity to vary. By calibrating a version of these models using a new solution algorithm, and using U.S. time series data on consumption growth and money growth, we find that in practice the cash-in-advance constraint almost always binds. This result is robust to changes in the forcing process, the inclusion of credit goods along with cash goods, various preference specifications, and changes in the precision of the agents' information. We conclude that there is little practical gain in using these more complicated informational specifications in future applications of a cash-in-advance technology.

Download or read book On Cash in Advance Models of Money Demand and Asset Pricing written by Henning Bohn and published by . This book was released on 1989 with total page 42 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book Interest Rate Rules Vs Money Growth Rules written by Charles T. Carlstrom and published by . This book was released on 1995 with total page 40 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book The Role of Overlapping generations Models in Monetary Economics written by Bennett T. McCallum and published by . This book was released on 1982 with total page 74 pages. Available in PDF, EPUB and Kindle. Book excerpt: The main arguments of this paper can be summarized as follows. (1) The overlapping-generations (OG) structure provides a useful framework for the analysis of macroeconomic issues involving intertemporal allocation. (2) As a "model of money," the basic OG setup -- which excludes cash-in-advance or money-in-the-utility-function (MIUF) features -- is inadequate and misleading because it neglects the medium-of-exchange property that is the distinguishing characteristic of money. (3) That this neglect obtains is verified by noting that, in contrast with an axiomatic "traditional presumption," the same aggregate leisure/consumption bundles are available in equilibria in which "money" is valued and valueless. (4) That the model may be misleading is demonstrated by examples in which three of its most striking properties --tenuousness of monetary equilibrium, optimality of zero money growth, and price level invariance to open-market exchanges -- disappear in the presence of modifications designed to reflect the medium-of-exchange property. (5) There is no compelling reason why cash-in-advance, MIUF, or other appendages should not be used in conjunction with the OG framework