TY - JOUR
T1 - Trade credit in a monetary economy
AU - Norrbin, Stefan C.
AU - Reffett, Kevin
N1 - Funding Information:
*Corresponding author. We thank Larry Christiano, Peter Ireland, Robert King, Jeffrey Lacker, Milton Marquis, Masao Ogaki, Valerie Ramey, Don Schlagenhauf, Stacey Schreft, Todd Smith, an anonymous referee, and the participants at the 1994 Winter meetings of the Econometric Society and the 1994 Society of Economic Dynamics and Control for helpful comments and/or conversations. We thank Masao Ogaki for supplying some of his CCR programs, and Valerie Ramey for providing her data. Funding from the Summer COFRS program at Florida State University is gratefully acknowledged. All remaining errors are our own.
Copyright:
Copyright 2014 Elsevier B.V., All rights reserved.
PY - 1995/6
Y1 - 1995/6
N2 - This paper examines the importance of financial and technological stochastic trends in the context of a stochastic, dynamic, general equilibrium monetary economy with multiple means of payment. In contrast to earlier empirical work, we find support for both a long-run substitution condition between money, trade credit, and interest rates as well as a long-run transactions demand for alternative payments media consistent with real business cycle frameworks.
AB - This paper examines the importance of financial and technological stochastic trends in the context of a stochastic, dynamic, general equilibrium monetary economy with multiple means of payment. In contrast to earlier empirical work, we find support for both a long-run substitution condition between money, trade credit, and interest rates as well as a long-run transactions demand for alternative payments media consistent with real business cycle frameworks.
KW - Canonical cointegrating regression
KW - General equilibrium
KW - Multiple means of payment models
KW - Stochastic trends
KW - Trade credit
UR - http://www.scopus.com/inward/record.url?scp=0001749875&partnerID=8YFLogxK
UR - http://www.scopus.com/inward/citedby.url?scp=0001749875&partnerID=8YFLogxK
U2 - 10.1016/0304-3932(95)01202-Y
DO - 10.1016/0304-3932(95)01202-Y
M3 - Article
AN - SCOPUS:0001749875
SN - 0304-3932
VL - 35
SP - 413
EP - 430
JO - Journal of Monetary Economics
JF - Journal of Monetary Economics
IS - 3
ER -