All Rights Reserved
AccessEcon LLC 2006, 2008.
Powered by MinhViet JSC

 
Mark Weder
 
''Endogenous Monetary Growth Rules and Determinacy in Cash-in-Advance Models''
( 2004, Vol. 5 No.11 )
 
 
It is well known that a high degree of relative risk aversion induces equilibrium indeterminacy in cash-in-advance economies. I find that by endogenously adjusting the nominal money supply to output fluctuations, these equilibria can be effectively eliminated.
 
 
Keywords:
JEL: E5 - Monetary Policy, Central Banking, and the Supply of Money and Credit: General
E3 - Prices, Business Fluctuations, and Cycles: General (includes Measurement and Data)
 
Manuscript Received : May 15 2004 Manuscript Accepted : May 20 2004

  This abstract has been downloaded 2329 times                The Full PDF of this paper has been downloaded 166325 times