Monetary Policy and the Transaction Role of Money in the US

• 成果类型: Article
• 署名作者: Kriwoluzky, Alexander; Stoltenberg, Christian A.
• 署名单位: University of Bonn; University of Amsterdam; Tinbergen Institute
• 刊物名称: ECONOMIC JOURNAL
• ISSN/ISSBN: 0013-0133
• DOI: 10.1111/ecoj.12151
• 发表日期: 2015
• 页码: 1452-1473
• 关键词: business-cycle; cash; demand; prices; inflation; rules; equilibrium; Determinacy; STABILITY; EVOLUTION

摘要

The declining importance of money in transactions can explain the well-known fact that US interest rate policy was passive in the pre-Volcker period and active after 1982. We generalise a standard cashless new Keynesian model (Woodford, 2003) by incorporating an explicit transaction role for money. In the pre-Volcker period, we estimate that money did play an important role and determinacy required a passive interest rate policy. However, after 1982, money no longer played an important role in facilitating transactions. Correspondingly, the conventional view prevails and an active policy ensured equilibrium determinacy.