Advanced Search
MyIDEAS: Login

Fiat Money and Quality Uncertainty

Contents:

Author Info

  • Haegler, Urs
Registered author(s):

    Abstract

    This paper studies the role of money as a medium of exchange when barter trade is restricted not only by the double-coincidence-of-wants requirement but also by private information about the quality of commodities. For this purpose, the model of N. Kiyotaki and R. Wright (1989) is extended to include commodities of both high and low quality. It is shown that, despite being intrinsically useless, fiat money may have value in trade because it is of uniform quality. Moreover, the introduction of a sufficiently small amount of fiat money proves to be welfare increasing. Copyright 1997 by The London School of Economics and Political Science

    Download Info

    If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
    File URL: http://www.blackwell-synergy.com/servlet/useragent?func=synergy&synergyAction=showTOC&journalCode=ecca&volume=64&issue=256&year=&part=null
    File Function: link to full text
    Download Restriction: Access to full text is restricted to subscribers.

    As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.

    Bibliographic Info

    Article provided by London School of Economics and Political Science in its journal Economica.

    Volume (Year): 64 (1997)
    Issue (Month): 256 (November)
    Pages: 547-65

    as in new window
    Handle: RePEc:bla:econom:v:64:y:1997:i:256:p:547-65

    Contact details of provider:
    Postal: Houghton Street, London WC2A 2AE
    Phone: +44 (020) 7405 7686
    Web page: http://www.blackwellpublishing.com/journal.asp?ref=0013-0427
    More information through EDIRC

    Order Information:
    Web: http://www.blackwellpublishing.com/subs.asp?ref=0013-0427

    Related research

    Keywords:

    References

    No references listed on IDEAS
    You can help add them by filling out this form.

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as in new window

    Cited by:
    1. Richard Dutu & Ed Nosal & Guillaume Rocheteau, 2005. "On the recognizability of money," Working Paper 0512, Federal Reserve Bank of Cleveland.
    2. Aleksander Berentsen & Guillaume Rocheteau, 2004. "Money and Information," Review of Economic Studies, Wiley Blackwell, vol. 71(4), pages 915-944, October.

    Lists

    This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

    Statistics

    Access and download statistics

    Corrections

    When requesting a correction, please mention this item's handle: RePEc:bla:econom:v:64:y:1997:i:256:p:547-65. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Wiley-Blackwell Digital Licensing) or (Christopher F. Baum).

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If references are entirely missing, you can add them using this form.

    If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.