A NEW MONETARIST MODEL OF FIAT AND E-MONEY

2018 ◽  
Vol 57 (1) ◽  
pp. 498-514 ◽  
Author(s):  
Sébastien Lotz ◽  
Françoise Vasselin
Keyword(s):  
Monetarist Model

scholarly journals On the optimality of the Friedman rule in a New Monetarist model

2014 ◽  
Vol 125 (1) ◽  
pp. 57-60 ◽  
Author(s):  
Ryoji Hiraguchi ◽  
Keiichiro Kobayashi
Keyword(s):  
Friedman Rule ◽  
Monetarist Model

The Effects of Monetary Policy Announcements

2019 ◽  
Author(s):  
Chao Gu ◽  
Han Han ◽  
Randall Wright
Keyword(s):  
Monetary Policy ◽  
General Equilibrium ◽  
Overlapping Generations ◽  
Unique Equilibrium ◽  
Policy Changes ◽  
Overlapping Generations Model ◽  
Payment Methods ◽  
Transition Paths ◽  
Sunspot Equilibria ◽  
Monetarist Model

The effects of news (i.e., information innovations) are studied in dynamic general equilibrium models where liquidity matters. As a leading example, news can be announcements about monetary policy directions. In three standard theoretical environments—an overlapping generations model of fiat currency, a new monetarist model accommodating multiple payment methods, and a model of unsecured credit—transition paths are constructed between an announcement and the date at which events are realized. Although the economics is different, in each case, news about monetary policy can induce volatility in financial and other markets, with transitions displaying booms, crashes, and cycles in prices, quantities, and welfare. This is not the same as volatility based on self-fulfilling prophecies (e.g., cyclic or sunspot equilibria) studied elsewhere. Instead, the focus is on the unique equilibrium that is stationary when parameters are constant but still delivers complicated dynamics in simple environments due to information and liquidity effects. This is true even for classically-neutral policy changes. The induced volatility can be bad or good for welfare, but using policy to exploit this in practice seems difficult because outcomes are very sensitive to timing and parameters. The approach can be extended to include news of real factors, as seen in examples.

A Monetarist Model of the Monetary Process

1970 ◽  
Vol 25 (2) ◽  
pp. 275 ◽  
Author(s):  
David I. Fand
Keyword(s):  
Monetarist Model

A Monetarist Model of the Monetary Process: Discussion

1970 ◽  
Vol 25 (2) ◽  
pp. 322 ◽  
Author(s):  
John J. Klein
Keyword(s):  
Monetarist Model

A Monetarist Model of Inflationary Expectations.

1975 ◽  
Vol 85 (340) ◽  
pp. 914
Author(s):  
A. A. Walters ◽  
J. Rutledge
Keyword(s):  
Monetarist Model
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