Kam, Eric (2013) A Tale of Two Motives: Endogenous Time Preference, Cash-in-Advance Constraints and Monetary Policy. Modern Economy, 04 (06). pp. 427-430. ISSN 2152-7245
![[thumbnail of ME_2013061714005446.pdf]](http://article.researchpromo.com/style/images/fileicons/text.png)
Text
ME_2013061714005446.pdf - Published Version
Download (148kB)
Official URL: https://doi.org/10.4236/me.2013.46045
Abstract
This paper demonstrates the effects of modeling an endogenous rate of time preference and two cash-in-advance constraints. If the constraint is levied on consumption and capital goods, time preference effects are neutral and cash-in-advance constraint effects invert the Tobin Effect. If the constraint applies solely to consumption goods, opposing motives are offsetting and monetary policy is super neutral.
| Item Type: | Article |
|---|---|
| Subjects: | STM Academic > Multidisciplinary |
| Depositing User: | Unnamed user with email support@stmacademic.com |
| Date Deposited: | 13 Oct 2023 04:30 |
| Last Modified: | 13 Oct 2023 04:30 |
| URI: | http://article.researchpromo.com/id/eprint/1230 |
Actions (login required)
- View Item