Minzyuk, Larysa (2010): The development of non-monetary means of payment.
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This paper develops a model to investigate the private enforcement of non-monetary inter-firm payments in Russia during the 1990s. Since acceptability of means of payment can have a self-reinforcing nature, the dominance of non-monetary means of payment over money in Russia might have been a result of the driving forces of the demonetiziation equilibrium. We propose a very simple search model to explore acceptability of means of payment different from legal tender - fiat money, commodity money, and trade credit. In each case, we show that monetization through the proposed means of payment is always a possible trade pattern.
|Item Type:||MPRA Paper|
|Original Title:||The development of non-monetary means of payment|
|English Title:||The Development of Non-Monetary Means of Payment|
|Keywords:||privately created means of payment; fiat money; commodity money; reputations; Russia|
|Subjects:||D - Microeconomics > D8 - Information, Knowledge, and Uncertainty > D83 - Search; Learning; Information and Knowledge; Communication; Belief
E - Macroeconomics and Monetary Economics > E0 - General > E00 - General
|Depositing User:||Larysa Minzyuk|
|Date Deposited:||17. Jan 2011 21:15|
|Last Modified:||15. Feb 2013 19:30|
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