Arbeitspapier
Effects of monetary policy in a model with cash-in-advance constraints on R&D and capital accumulation
To examine the effect of monetary policy on economic growth, we formulate an endogenous growth model with cash-in-advance constraints on R&D and capital accumulation as endogenous growth engines. Within this framework, we show that the relationship between economic growth and the nominal interest rate can be an inverted-U shape. Moreover, we demonstrate that the welfare-maximizing level of the nominal interest rate is larger than the growth rate-maximizing level of the nominal interest rate.
- Language
-
Englisch
- Bibliographic citation
-
Series: ISER Discussion Paper ; No. 1076
- Classification
-
Wirtschaft
Monetary Policy
Innovation and Invention: Processes and Incentives
Economic Growth and Aggregate Productivity: General
- Subject
-
Capital accumulation
CIA constraint
Endogenous growth
Monetary policy
R&D
- Event
-
Geistige Schöpfung
- (who)
-
Maeda, Daiki
Saito, Yuki
- Event
-
Veröffentlichung
- (who)
-
Osaka University, Institute of Social and Economic Research (ISER)
- (where)
-
Osaka
- (when)
-
2020
- Handle
- Last update
-
10.03.2025, 11:45 AM CET
Data provider
This object is provided by:
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. If you have any questions about the object, please contact the data provider.
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. If you have any questions about the object, please contact the data provider.
Object type
- Arbeitspapier
Associated
- Maeda, Daiki
- Saito, Yuki
- Osaka University, Institute of Social and Economic Research (ISER)
Time of origin
- 2020
Other Objects (12)
On imperfect competition with occasionally binding cash-in-advance constraints
General equilibrium with monopolistic firms and occasionally binding cash-in-advance constraints
Money and Interest in Cash-In-Advance Economy
Stable Sunspot Equilibria in a Cash-in-Advance Economy
The cash-in-advance constraint in monetary growth models
Cognitive constraints on advance planning of sentence intonation
An endogenous approach to the cyclicality of R&D investment under credit constraints: Firms' cash flow matters!
R&D Investments and Corporate Cash Holdings
R&D investment under financing constraints
R&D investments under financing constraints
Monetary equilibria in a cash-in-advance economy with incomplete financial markets
Corporate Cash Hoarding in a Model with Liquidity Constraints
On imperfect competition with occasionally binding cash-in-advance constraints
General equilibrium with monopolistic firms and occasionally binding cash-in-advance constraints
Money and Interest in Cash-In-Advance Economy
Stable Sunspot Equilibria in a Cash-in-Advance Economy
The cash-in-advance constraint in monetary growth models
Cognitive constraints on advance planning of sentence intonation
An endogenous approach to the cyclicality of R&D investment under credit constraints: Firms' cash flow matters!
R&D Investments and Corporate Cash Holdings
R&D investment under financing constraints
R&D investments under financing constraints
Monetary equilibria in a cash-in-advance economy with incomplete financial markets
Corporate Cash Hoarding in a Model with Liquidity Constraints
On imperfect competition with occasionally binding cash-in-advance constraints
General equilibrium with monopolistic firms and occasionally binding cash-in-advance constraints
Money and Interest in Cash-In-Advance Economy
Stable Sunspot Equilibria in a Cash-in-Advance Economy
The cash-in-advance constraint in monetary growth models
Cognitive constraints on advance planning of sentence intonation
An endogenous approach to the cyclicality of R&D investment under credit constraints: Firms' cash flow matters!
R&D Investments and Corporate Cash Holdings
R&D investment under financing constraints
R&D investments under financing constraints
Monetary equilibria in a cash-in-advance economy with incomplete financial markets