Money and Interest in a Cash-in-Advance Economy


Lucas meets Baumol and Tobin

In rare instances, a publisher has elected to have a "zero" moving wall, so their current issues are available in JSTOR shortly after publication. Access supplemental materials and multimedia. Unlimited access to purchased articles. The corresponding welfare gain is equivalent to a permanent increase in consumption of In calculating the moving wall, the current year is not counted. Moving walls are generally represented in years.


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 · They find that if they use the basic cash in advance model, whether it be that of Lucas or Svensson, they cannot generate under any plausible scenario enough variation in the velocity of  · Money in a Real Business Cycle Model Graduate Macro II, Spring The University of Notre Dame Professor Sims This document describes how to include money into an otherwise standard real business Examples of cash in advance economies are Lucas () and Cooley and Hansen ()  · 1 A Cash-in-advance Model A Cash-in-advance Model In this problem set, we will try to answer some questional issues on money and business

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