Optimal Monetary Policy in a Model of Money and Credit

Material TypeArticleLanguageEnglish
TitleOptimal Monetary Policy in a Model of Money and Credit Author(S)PEDRO GOMIS-PORQUERAS (Author)
Abstract  We investigate the extent to which monetary policy can enhance the functioning of the private credit system. Specifically, we characterize the optimal return on money in the presence of credit arrangements. There is a dual role for credit: it allows buyers to trade without fiat money and also permits them to borrow against future income. ...Paginationp 701-730
SubjectEconomicsDescriptorsMonetary policy Credit
Journal TitleJournal of Money, Credit, and Banking  
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