We show that introducing a periodic time coordinate in the models of P
enner-Kontsevich type generalizes the corresponding constructions to t
he case of the moduli space S(g,n)k of curves C with homology chains g
amma is-an-element-of H-1 (C, Z(k)). We make a minimal extension of th
e resulting models by adding a kinetic term, and we get a new matrix m
odel which realizes a simple dynamics of Z(k)-chains on surfaces. This
gives a representation of c = 1 matter coupled to two-dimensional qua
ntam gravity with the target space being a circle of finite radius, as
studied by Gross and Klebanov.