International Seigniorage Payments

摘要: What are the "liquidity services" provided by i?½over-pricedi?½ assets? How do international seigniorage payments affect choice of monetary policies? Does a country gain when other hold its These questions analyzed here in model which demand uncertainty (taste shocks) and sequential trade key. It is shown that with relatively stable may issue "over priced" debt get from countries unstable demand. But this does not necessarily improve welfare country.