@techreport{Berentsen2005Money,
abstract = {In monetary models in which agents are subject to trading shocks there is typically an ex-post
inefficiency in that some agents are holding idle balances while others are cash constrained.
This inefficiency creates a role for financial intermediaries, such as banks, who accept
nominal deposits and make nominal loans. We show that in general financial intermediation
improves the allocation and that the gains in welfare arise from paying interest on deposits
and not from relaxing borrowers? liquidity constraints. We also demonstrate that increasing
the rate of inflation can be welfare improving when credit rationing occurs.},
author = {Aleksander Berentsen and Gabriele Camera and Christopher Jude Waller},
copyright = {http://www.econstor.eu/dspace/Nutzungsbedingungen},
keywords = {D9; E5; E4; 330; money; credit; rationing; banking; Geldtheorie; Geld; Kredit; Mengenrationierung; Geldmengensteuerung},
language = {eng},
number = {1617},
title = {Money, credit and banking},
type = {CESifo working papers},
url = {http://hdl.handle.net/10419/19081},
year = {2005}
}
