Are the Liquidity and Collateral Roles of Asset Bubbles Different?
نویسندگان
چکیده
Several papers explain why asset bubbles are observed when growth is large. These differ in the role of bubble, used to provide liquidities or as collateral a borrowing constraint. We compare liquidity and roles an overlapping generations model. When bubble deterministic, equilibrium identical under these two roles, implying that same mechanism explains crowding-in effect on growth. With stochastic bubbles, larger play role, because burst for less damaging capital investors.
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ژورنال
عنوان ژورنال: Journal of Money, Credit and Banking
سال: 2023
ISSN: ['1538-4616', '0022-2879']
DOI: https://doi.org/10.1111/jmcb.13007