+2 votes
asked ago in General Economics Questions by (610 points)
Intrigued - not seen so much on this recently but it was for a while pretty active?

1 Answer

0 votes
answered ago by (140 points)
what is "money-search?
commented ago by (250 points)
edited ago by
Randy Wright and Ricardo Lagos are among the big guys in the field. They also go by the moniker "new monetarists". The models generally start from the foundation that product markets are subject to search and matching frictions with limited commitment to repay debts, and fiat money can have value by resolving the commitment issue. I always saw them as overly complicated ways to derive money demand functions.

Randy Wright and Steve Williamson have a chapter surveying the literature in the Handbook of Monetary Economics v3.