MONETARY UNCERTAINTY IN DISCRETE-TIME UTILITY-OF-MONEY MODELS

Authors
Citation
N. Rankin, MONETARY UNCERTAINTY IN DISCRETE-TIME UTILITY-OF-MONEY MODELS, Economics letters, 44(1-2), 1994, pp. 127-132
Citations number
18
Categorie Soggetti
Economics
Journal title
ISSN journal
01651765
Volume
44
Issue
1-2
Year of publication
1994
Pages
127 - 132
Database
ISI
SICI code
0165-1765(1994)44:1-2<127:MUIDUM>2.0.ZU;2-Y
Abstract
In a discrete-time model, higher variability of the future money suppl y affects current macroeconomic variables when beginning-of-period mon ey is the argument of utility, but not when end-of-period money is. Th e effect is through the existence of a precautionary money demand.