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Monetary Transmission with Segmented Markets

Author

Listed:
  • Anmol Bhandari

    (University of Minnesota)

  • David Evans

    (University of Oregon)

  • Mikhail Golosov

    (University of Chicago)

Abstract

n this paper we build a monetary model with segmented markets in which the trans- mission of monetary shocks to the real economy is consistent with the empirical behavior of profits shares, interest rates, and risk premium.

Suggested Citation

  • Anmol Bhandari & David Evans & Mikhail Golosov, 2019. "Monetary Transmission with Segmented Markets," 2019 Meeting Papers 1224, Society for Economic Dynamics.
    • Handle: RePEc:red:sed019:1224
    as

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    References listed on IDEAS

    as
    1. Ben S. Bernanke & Kenneth N. Kuttner, 2005. "What Explains the Stock Market's Reaction to Federal Reserve Policy?," Journal of Finance, American Finance Association, vol. 60(3), pages 1221-1257, June.
    2. John Y. Campbell, Robert J. Shiller, 1988. "The Dividend-Price Ratio and Expectations of Future Dividends and Discount Factors," Review of Financial Studies, Society for Financial Studies, vol. 1(3), pages 195-228.
    3. Canzoneri, Matthew B. & Cumby, Robert E. & Diba, Behzad T., 2007. "Euler equations and money market interest rates: A challenge for monetary policy models," Journal of Monetary Economics, Elsevier, vol. 54(7), pages 1863-1881, October.
    4. Jordi Galí, 2015. "Monetary Policy, Inflation, and the Business Cycle: An Introduction to the New Keynesian Framework and Its Applications Second edition," Economics Books, Princeton University Press, edition 2, number 10495.
    Full references (including those not matched with items on IDEAS)

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