Heterogeneity, monetary policy, Mirrleesian taxes, and the Friedman rule
نویسندگان
چکیده
منابع مشابه
Milton Friedman: Perspectives, Particularly on Monetary Policy
When my son Jason was an economics Ph.D. student at Harvard in the 1990s, he said: “I have observed that only two economists can push you around, Milton Friedman and Gary Becker.” I agreed but argued that it was a good thing. Everyone needed heroes, and Gary had only Milton. Milton had no one, except Ronald Reagan in the 1980s, but Reagan did not really qualify as an economist. Arthur Burns may...
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The heterogeneity in the response of banks to a change in monetary policy is an important element in the transmission of this policy through banks. This paper examines the role of bank liquidity, capitalization and market power as internal factors influencing banks’ reaction in terms of lending and risk-taking to monetary policy impulses. The ultimate impact of a monetary policy change on bank ...
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A cash-in-advance model with sequential markets is constructed, where unanticipated monetary injections are nonneutral and can potentially produce large liquidity effects. However, if the monetary authority adheres to an optimal money rule, money should not respond to unanticipated shocks, so that a Friedman rule is suboptimal and the monetary authority does not exploit the liquidity effect. Qu...
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ژورنال
عنوان ژورنال: Economic Theory
سال: 2018
ISSN: 0938-2259,1432-0479
DOI: 10.1007/s00199-018-1108-x