Money, banking, and monetary policy

• 成果类型: Article
• 署名作者: He, Ping; Huang, Lixin; Wright, Randall
• 署名单位: University of Pennsylvania; University System of Georgia; Georgia State University; Tsinghua University
• 刊物名称: JOURNAL OF MONETARY ECONOMICS
• ISSN/ISSBN: 0304-3932
• DOI: 10.1016/j.jmoneco.2008.06.004
• 发表日期: 2008
• 页码: 1013-1024
• 关键词: money; banks; inflation; Interest rates

摘要

An important function of banks is to issue liabilities, like demand deposits, that are relatively safe and liquid. We introduce a risk of theft and a safe-keeping role for banks into modern monetary theory. This provides a general equilibrium framework for analyzing banking in historical and contemporary contexts. The model can generate the concurrent circulation of cash and bank liabilities as media of exchange, or inside and outside money. It also yields novel policy implications. For example, negative nominal interest rates are feasible, and for some parameters optimal; for other parameters, strictly positive nominal rates are optimal. (C) 2008 Elsevier B.V. All rights reserved.