Ramsey-Friedman Optimality with Banking Time

Gillman, Max and Yerokhin, Oleg 2005. Ramsey-Friedman Optimality with Banking Time. Topics in Macroeconomics 5 (1) , 16. 10.2202/1534-5998.1137

Full text not available from this repository.

Abstract

This paper conducts a Ramsey analysis within an endogenous growth cash-in-advance economy with policy commitment. Credit and money are alternative payment mechanisms that act as inputs into the household production of exchange. The credit is produced with a diminishing returns technology with Inada conditions that implies along the balanced-growth path a degree one homogeneity of effective banking time. This tightens the restrictions found within shopping time economies while providing a production basis for the Ramsey-Friedman optimum that suggests a special case of Diamond and Mirrlees (1971).

Item Type:	Article
Date Type:	Publication
Status:	Published
Schools:	Business (Including Economics)
Subjects:	H Social Sciences > HB Economic Theory H Social Sciences > HG Finance
Uncontrolled Keywords:	Inflation; credit production; optimal taxation; banking time
Publisher:	de Gruyter
ISSN:	1534-5998
Last Modified:	19 Mar 2016 23:10
URI:	https://orca.cardiff.ac.uk/id/eprint/41288

Citation Data

Actions (repository staff only)

Edit Item