Logo
Munich Personal RePEc Archive

Nonneutrality of Money in Dispersion: Hume Revisited

Jin, Gu and Zhu, Tao (2017): Nonneutrality of Money in Dispersion: Hume Revisited.

This is the latest version of this item.

[thumbnail of MPRA_paper_81393.pdf]
Preview
PDF
MPRA_paper_81393.pdf

Download (636kB) | Preview

Abstract

For a class of standard and widely-used preferences, a one-shot money injection in a standard matching model can induce a significant and persistent output response by dispersing the distribution of wealth. Decentralized trade matters for both persistence and significance. In the presence of government bonds the injection has a liquidity effect and the inflation rate right following the injection may be below the steady-state rate level.

Available Versions of this Item

Atom RSS 1.0 RSS 2.0

Contact us: mpra@ub.uni-muenchen.de

This repository has been built using EPrints software.

MPRA is a RePEc service hosted by Logo of the University Library LMU Munich.