Unconventional optimal open market purchases
We build a model in which verifiability of private debt and a timing mismatch in debt settlements can lead to a liquidity problem in the financial market. The central bank can respond to the liquidity problem by adopting an unconventional monetary policy that purchases private debts in the open mark...
Gespeichert in:
| Veröffentlicht in: | Review of economic dynamics 2014-07, Vol.17 (3), p.543-558 |
|---|---|
| Hauptverfasser: | , |
| Format: | Artikel |
| Sprache: | eng |
| Schlagworte: | |
| Online-Zugang: | Volltext |
| Tags: |
Tag hinzufügen
Keine Tags, Fügen Sie den ersten Tag hinzu!
|
| container_end_page | 558 |
|---|---|
| container_issue | 3 |
| container_start_page | 543 |
| container_title | Review of economic dynamics |
| container_volume | 17 |
| creator | Gu, Chao Haslag, Joseph H. |
| description | We build a model in which verifiability of private debt and a timing mismatch in debt settlements can lead to a liquidity problem in the financial market. The central bank can respond to the liquidity problem by adopting an unconventional monetary policy that purchases private debts in the open market. This policy is effective if the timing mismatch is nominal (i.e., a settlement participation risk). It is ineffective if the limited participation is driven by a real shock (i.e., preference shock). |
| doi_str_mv | 10.1016/j.red.2013.08.004 |
| format | Article |
| fullrecord | <record><control><sourceid>proquest_cross</sourceid><recordid>TN_cdi_proquest_miscellaneous_1552593892</recordid><sourceformat>XML</sourceformat><sourcesystem>PC</sourcesystem><els_id>S109420251300046X</els_id><sourcerecordid>1552593892</sourcerecordid><originalsourceid>FETCH-LOGICAL-c422t-7bdc16b58c651200dce89d8c923e482451a5549bfb3262189ad82f7132b420473</originalsourceid><addsrcrecordid>eNp9kD1PwzAYhC0EEiXwA9gqsTCQ8NqxHVtMCPElVWKhs5U4b0RCGgc7qcS_x22ZGJjuhruT7iHkkkJGgcrbLvNYZwxonoHKAPgRWVDQMpWg9fHe85QBE6fkLIQOgFIJckFu1oN1wxaHqXVD2S_dOLWbveKw3JT-E6flOHv7UQYM5-SkKfuAF7-akPXT4_vDS7p6e359uF-lljM2pUVVWyoroawUlAHUFpWuldUsR64YF7QUguuqqXImGVW6rBVrCpqzijPgRZ6Q68Pu6N3XjGEymzZY7PtyQDcHQ4VgQucqDibk6k-0c7OPT3apXAtVyDicEHpIWe9C8NiY0ceb_ttQMDt-pjORn9nxM6BM5Bc7d4cOxqfbFr0JtsXBYt16tJOpXftP-weEM3XL</addsrcrecordid><sourcetype>Aggregation Database</sourcetype><iscdi>true</iscdi><recordtype>article</recordtype><pqid>1539587671</pqid></control><display><type>article</type><title>Unconventional optimal open market purchases</title><source>Elsevier ScienceDirect Journals</source><creator>Gu, Chao ; Haslag, Joseph H.</creator><creatorcontrib>Gu, Chao ; Haslag, Joseph H.</creatorcontrib><description>We build a model in which verifiability of private debt and a timing mismatch in debt settlements can lead to a liquidity problem in the financial market. The central bank can respond to the liquidity problem by adopting an unconventional monetary policy that purchases private debts in the open market. This policy is effective if the timing mismatch is nominal (i.e., a settlement participation risk). It is ineffective if the limited participation is driven by a real shock (i.e., preference shock).</description><identifier>ISSN: 1094-2025</identifier><identifier>EISSN: 1096-6099</identifier><identifier>DOI: 10.1016/j.red.2013.08.004</identifier><identifier>CODEN: REDEB7</identifier><language>eng</language><publisher>Orlando: Elsevier Inc</publisher><subject>Capital market ; Central banks ; Consumption shock ; Debt ; Leveraging ; Liquidity ; Liquidity problem ; Liquidity shock ; Monetary policy ; Nominal scales ; Open market operations ; Securities markets ; Settlement risk ; Studies ; Timing issues ; Timing mismatch ; Unconventional monetary policy</subject><ispartof>Review of economic dynamics, 2014-07, Vol.17 (3), p.543-558</ispartof><rights>2013 Elsevier Inc.</rights><rights>Copyright Academic Press Jul 2014</rights><lds50>peer_reviewed</lds50><woscitedreferencessubscribed>false</woscitedreferencessubscribed><citedby>FETCH-LOGICAL-c422t-7bdc16b58c651200dce89d8c923e482451a5549bfb3262189ad82f7132b420473</citedby><cites>FETCH-LOGICAL-c422t-7bdc16b58c651200dce89d8c923e482451a5549bfb3262189ad82f7132b420473</cites></display><links><openurl>$$Topenurl_article</openurl><openurlfulltext>$$Topenurlfull_article</openurlfulltext><thumbnail>$$Tsyndetics_thumb_exl</thumbnail><linktohtml>$$Uhttps://www.sciencedirect.com/science/article/pii/S109420251300046X$$EHTML$$P50$$Gelsevier$$H</linktohtml><link.rule.ids>314,776,780,3537,27901,27902,65306</link.rule.ids></links><search><creatorcontrib>Gu, Chao</creatorcontrib><creatorcontrib>Haslag, Joseph H.</creatorcontrib><title>Unconventional optimal open market purchases</title><title>Review of economic dynamics</title><description>We build a model in which verifiability of private debt and a timing mismatch in debt settlements can lead to a liquidity problem in the financial market. The central bank can respond to the liquidity problem by adopting an unconventional monetary policy that purchases private debts in the open market. This policy is effective if the timing mismatch is nominal (i.e., a settlement participation risk). It is ineffective if the limited participation is driven by a real shock (i.e., preference shock).</description><subject>Capital market</subject><subject>Central banks</subject><subject>Consumption shock</subject><subject>Debt</subject><subject>Leveraging</subject><subject>Liquidity</subject><subject>Liquidity problem</subject><subject>Liquidity shock</subject><subject>Monetary policy</subject><subject>Nominal scales</subject><subject>Open market operations</subject><subject>Securities markets</subject><subject>Settlement risk</subject><subject>Studies</subject><subject>Timing issues</subject><subject>Timing mismatch</subject><subject>Unconventional monetary policy</subject><issn>1094-2025</issn><issn>1096-6099</issn><fulltext>true</fulltext><rsrctype>article</rsrctype><creationdate>2014</creationdate><recordtype>article</recordtype><recordid>eNp9kD1PwzAYhC0EEiXwA9gqsTCQ8NqxHVtMCPElVWKhs5U4b0RCGgc7qcS_x22ZGJjuhruT7iHkkkJGgcrbLvNYZwxonoHKAPgRWVDQMpWg9fHe85QBE6fkLIQOgFIJckFu1oN1wxaHqXVD2S_dOLWbveKw3JT-E6flOHv7UQYM5-SkKfuAF7-akPXT4_vDS7p6e359uF-lljM2pUVVWyoroawUlAHUFpWuldUsR64YF7QUguuqqXImGVW6rBVrCpqzijPgRZ6Q68Pu6N3XjGEymzZY7PtyQDcHQ4VgQucqDibk6k-0c7OPT3apXAtVyDicEHpIWe9C8NiY0ceb_ttQMDt-pjORn9nxM6BM5Bc7d4cOxqfbFr0JtsXBYt16tJOpXftP-weEM3XL</recordid><startdate>20140701</startdate><enddate>20140701</enddate><creator>Gu, Chao</creator><creator>Haslag, Joseph H.</creator><general>Elsevier Inc</general><general>Academic Press</general><scope>AAYXX</scope><scope>CITATION</scope><scope>8BJ</scope><scope>FQK</scope><scope>JBE</scope></search><sort><creationdate>20140701</creationdate><title>Unconventional optimal open market purchases</title><author>Gu, Chao ; Haslag, Joseph H.</author></sort><facets><frbrtype>5</frbrtype><frbrgroupid>cdi_FETCH-LOGICAL-c422t-7bdc16b58c651200dce89d8c923e482451a5549bfb3262189ad82f7132b420473</frbrgroupid><rsrctype>articles</rsrctype><prefilter>articles</prefilter><language>eng</language><creationdate>2014</creationdate><topic>Capital market</topic><topic>Central banks</topic><topic>Consumption shock</topic><topic>Debt</topic><topic>Leveraging</topic><topic>Liquidity</topic><topic>Liquidity problem</topic><topic>Liquidity shock</topic><topic>Monetary policy</topic><topic>Nominal scales</topic><topic>Open market operations</topic><topic>Securities markets</topic><topic>Settlement risk</topic><topic>Studies</topic><topic>Timing issues</topic><topic>Timing mismatch</topic><topic>Unconventional monetary policy</topic><toplevel>peer_reviewed</toplevel><toplevel>online_resources</toplevel><creatorcontrib>Gu, Chao</creatorcontrib><creatorcontrib>Haslag, Joseph H.</creatorcontrib><collection>CrossRef</collection><collection>International Bibliography of the Social Sciences (IBSS)</collection><collection>International Bibliography of the Social Sciences</collection><collection>International Bibliography of the Social Sciences</collection><jtitle>Review of economic dynamics</jtitle></facets><delivery><delcategory>Remote Search Resource</delcategory><fulltext>fulltext</fulltext></delivery><addata><au>Gu, Chao</au><au>Haslag, Joseph H.</au><format>journal</format><genre>article</genre><ristype>JOUR</ristype><atitle>Unconventional optimal open market purchases</atitle><jtitle>Review of economic dynamics</jtitle><date>2014-07-01</date><risdate>2014</risdate><volume>17</volume><issue>3</issue><spage>543</spage><epage>558</epage><pages>543-558</pages><issn>1094-2025</issn><eissn>1096-6099</eissn><coden>REDEB7</coden><abstract>We build a model in which verifiability of private debt and a timing mismatch in debt settlements can lead to a liquidity problem in the financial market. The central bank can respond to the liquidity problem by adopting an unconventional monetary policy that purchases private debts in the open market. This policy is effective if the timing mismatch is nominal (i.e., a settlement participation risk). It is ineffective if the limited participation is driven by a real shock (i.e., preference shock).</abstract><cop>Orlando</cop><pub>Elsevier Inc</pub><doi>10.1016/j.red.2013.08.004</doi><tpages>16</tpages></addata></record> |
| fulltext | fulltext |
| identifier | ISSN: 1094-2025 |
| ispartof | Review of economic dynamics, 2014-07, Vol.17 (3), p.543-558 |
| issn | 1094-2025 1096-6099 |
| language | eng |
| recordid | cdi_proquest_miscellaneous_1552593892 |
| source | Elsevier ScienceDirect Journals |
| subjects | Capital market Central banks Consumption shock Debt Leveraging Liquidity Liquidity problem Liquidity shock Monetary policy Nominal scales Open market operations Securities markets Settlement risk Studies Timing issues Timing mismatch Unconventional monetary policy |
| title | Unconventional optimal open market purchases |
| url | https://sfx.bib-bvb.de/sfx_tum?ctx_ver=Z39.88-2004&ctx_enc=info:ofi/enc:UTF-8&ctx_tim=2025-01-31T09%3A17%3A29IST&url_ver=Z39.88-2004&url_ctx_fmt=infofi/fmt:kev:mtx:ctx&rfr_id=info:sid/primo.exlibrisgroup.com:primo3-Article-proquest_cross&rft_val_fmt=info:ofi/fmt:kev:mtx:journal&rft.genre=article&rft.atitle=Unconventional%20optimal%20open%20market%20purchases&rft.jtitle=Review%20of%20economic%20dynamics&rft.au=Gu,%20Chao&rft.date=2014-07-01&rft.volume=17&rft.issue=3&rft.spage=543&rft.epage=558&rft.pages=543-558&rft.issn=1094-2025&rft.eissn=1096-6099&rft.coden=REDEB7&rft_id=info:doi/10.1016/j.red.2013.08.004&rft_dat=%3Cproquest_cross%3E1552593892%3C/proquest_cross%3E%3Curl%3E%3C/url%3E&disable_directlink=true&sfx.directlink=off&sfx.report_link=0&rft_id=info:oai/&rft_pqid=1539587671&rft_id=info:pmid/&rft_els_id=S109420251300046X&rfr_iscdi=true |