On the monetary policy in an economy with banks endogenously creating money.
This paper attempts to employ a microeconomic model (industrial‐organization approach to banking) to formalize the concept that banks in an economy may also unilaterally create money, at least initially, rather than passively multiplying the base money exogenously issued by the Central Bank in the m...
| Publicado en: | American Journal of Economics & Sociology Vol. 82; no. 2; pp. 121 - 128 |
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| Autores principales: | , , |
| Formato: | Artículo |
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Wiley-Blackwell
Mar2023
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| Acceso en línea: | Ver este registro en EBSCOhost |
| fields | @attributes: recordID: 1 pdfLink: plink: https://search.ebscohost.com/login.aspx?direct=true&db=ssf&AN=162203262&site=ehost-live header: @attributes: shortDbName: ssf uiTerm: 162203262 longDbName: Social Sciences Full Text (H.W. Wilson) uiTag: AN controlInfo: bkinfo: jinfo: jid: 00029246 AES jtl: American Journal of Economics & Sociology issn: 00029246 maglogo: Y pubinfo: dt: Mar2023 vid: 82 iid: 2 pid: 480 pub: Wiley-Blackwell artinfo: ui: 162203262 10.1111/ajes.12496 ppf: 121 ppct: 7 formats: fmt: – @attributes: type: T – @attributes: type: P size: 260KB tig: atl: On the monetary policy in an economy with banks endogenously creating money. aug: au: Wang, X. Henry Yang, Bill Young, Alex affil: Department of Economics, University of Missouri – Columbia, Columbia Missouri,, USA Professor Emeritus of Economics, Department of Economics, Parker College of Business, Georgia Southern University, Georgia, Statesboro, USA Department of Accounting, Frank Zarb School of Business, Hofstra University, Hempstead New York,, USA su: Monetary policy Central banking industry Banking policy Bank deposits Interest rates sug: subj: Personal and commercial banking industry Commercial Banking Other Depository Credit Intermediation Savings Institutions Monetary Authorities-Central Bank Monetary policy Central banking industry Banking policy Bank deposits Interest rates ab: This paper attempts to employ a microeconomic model (industrial‐organization approach to banking) to formalize the concept that banks in an economy may also unilaterally create money, at least initially, rather than passively multiplying the base money exogenously issued by the Central Bank in the money creation process. It shows that in equilibrium, banks may indeed create money (bank deposits) when making loans without relying on the newly issued base money from the Central Bank. Instead, the endogenously created money by banks would cause the Central Bank to endogenously adjust base money to hit the target policy interest rate. pubtype: Academic Journal doctype: Article src: R language: English refInfo: copyright: @attributes: flag: N holdings: @attributes: islocal: N |
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