This essay surveys the new monetarist approach to liquidity. Work in this literature strives for
empirical and policy relevance, plus rigorous foundations. Questions include: What is …

This essay surveys the literature on directed search and competitive search equilibrium,
covering theory and a variety of applications. These models share features with traditional …

This paper develops a micro-founded general equilibrium model of payments to study the
impact of a central bank digital currency (CBDC) on intermediation of private banks. If banks …

We develop a tractable model of banks' liquidity management with an over‐the‐counter
interbank market to study the credit channel of monetary policy. Deposits circulate randomly …

We address the determination of bitcoin prices and decentralized security. Users forecast
the transactional and resale values of holdings, pricing the risk of systemic attacks. Miners …

We study the long-run relation between money (inflation or interest rates) and
unemployment. We document positive relationships between these variables at low …

What determines which assets are used in transactions? We develop a framework where the
extent to which assets are recognizable determines the extent to which they are acceptable …

We study an over-the-counter (OTC) market in which the usefulness of assets as a means of
payment or collateral is limited by the threat of fraudulent practices. Agents can produce …

Should a central bank take over the provision of e-money, a circulable electronic liability?
We discuss how e-money technology changes the tradeoff between public and private …

The effects of money (anticipated inflation) on capital formation is a classic issue in
macroeconomics. Previous papers adopt reduced-form approaches, putting money in the …