The Demand for Money When Firms Hold Balances as Payment for Services (Classic Reprint)
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The Demand for Money When Firms Hold Balances as Payment for Services (Classic Reprint)

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Book Description
Excerpt from The Demand for Money When Firms Hold Balances as Payment for Services Other researchers reject the models on the basis of these findings (sprenkle, They suggest that the simple inventory-cost minimization models are inadequate in explaining the complex firm bank relationship which determines money demand. Specifically, the transactions motive forlmoney holding on which such models are predicated is not the only such motive in the u.s. Financial environ ment. Firms hold deposits to receive bank services, and they hold compensating balances which are often required for loans and lines of credit. They argue that simple optimizing models cannot capture these subtle, heuristic reasons for money holding,
Book Specifications
ISBN-13 9781334473821
Language English
Binding Paper Back
Publisher Forgotten Books
Publishing Date 2018-09-03