A tractable model of monetary exchange with ex post heterogeneity

• 成果类型: Article
• 署名作者: Rocheteau, Guillaume; Weill, Pierre-Olivier; Wong, Tsz-Nga
• 署名单位: University of California System; University of California Irvine; University of California System; University of California Los Angeles; Federal Reserve System - USA; Federal Reserve Bank - Richmond
• 刊物名称: THEORETICAL ECONOMICS
• ISSN/ISSBN: 1555-7561
• DOI: 10.3982/TE2821
• 发表日期: 2018-09-01
• 页码: 1369-1423
• 关键词: money; inflation; risk-sharing; liquidity traps

摘要

We construct a continuous-time new-monetarist economy that displays an endogenous, nondegenerate distribution of money holdings. Properties of equilibria are obtained analytically and equilibria are solved in closed form in a variety of cases. Lump-sum transfers financed with money creation are welfare-enhancing when labor productivity is low whereas regressive transfers approach first best when labor productivity is high and agents are not too impatient. We introduce illiquid government bonds and draw implications for liquidity-trap equilibria. We also study transitional dynamics under quadratic preferences and the velocity of money under heterogeneous preference shocks.