𝔖 Bobbio Scriptorium
✦   LIBER   ✦

Money, capital, and redistributive effects of monetary policies

✍ Scribed by Shouyong Shi

Publisher
Elsevier Science
Year
1999
Tongue
English
Weight
192 KB
Volume
23
Category
Article
ISSN
0165-1889

No coin nor oath required. For personal study only.

✦ Synopsis

This paper examines the redistributive role of expansionary monetary policies. For this purpose a physical environment with heterogeneous agents is described to emphasize two frictions. One is a within-market friction that agents cannot borrow within each market; the other is a cross-market friction that agents cannot borrow across markets. Although a contractionary monetary policy is required to eliminate the within-market friction, as in many previous monetary models, an expansionary monetary policy is required to eliminate the cross-market friction. When both frictions are operational, no monetary policy alone can restore efficiency and the second-best monetary policy requires the money growth rate to exceed the Friedman rule. The first-best allocation can be achieved by a combination of fiscal policies and the Friedman rule.

πŸ“œ SIMILAR VOLUMES

The ECB monetary policy strategy and the
The ECB monetary policy strategy and the money market
✍ VΓ­tor Gaspar; Gabriel Perez-Quiros; Jorge Sicilia πŸ“‚ Article πŸ“… 2001 πŸ› John Wiley and Sons 🌐 English βš– 225 KB

## Abstract This paper aims at contributing to the understanding of how the ECB conducts monetary policy as seen from a money market perspective. More specifically it covers two different issues. First, it looks at the β€˜learning period’ for banks since the Eurosystem started implementing the single

Volatility in the Euro area money market
Volatility in the Euro area money market: effects from the monetary policy operational framework
✍ Alain DurrΓ©; Stefano Nardelli πŸ“‚ Article πŸ“… 2008 πŸ› John Wiley and Sons 🌐 English βš– 555 KB

## Abstract This paper deals with the evolution of the realized volatility of the overnight interest rates in the Euro area money market using intraday data. It analyses in particular the pattern of the volatility of the overnight interest rate before and after the introduction of the structural ch