LEADER 07278oam 22015014 450 001 9910786481003321 005 20230801225326.0 010 $a1-4755-8778-3 010 $a1-4755-3005-6 035 $a(CKB)2670000000278846 035 $a(EBL)1606934 035 $a(SSID)ssj0000943834 035 $a(PQKBManifestationID)11503123 035 $a(PQKBTitleCode)TC0000943834 035 $a(PQKBWorkID)10978435 035 $a(PQKB)11265843 035 $a(MiAaPQ)EBC1606934 035 $a(Au-PeEL)EBL1606934 035 $a(CaPaEBR)ebr10627067 035 $a(OCoLC)805951598 035 $a(IMF)WPIEE2012202 035 $a(IMF)WPIEA2012202 035 $a(EXLCZ)992670000000278846 100 $a20020129d2012 uf 0 101 0 $aeng 135 $aur|n|---||||| 181 $ctxt 182 $cc 183 $acr 200 14$aThe Chicago Plan Revisited /$fMichael Kumhof, Jaromir Benes 210 1$aWashington, D.C. :$cInternational Monetary Fund,$d2012. 215 $a1 online resource (72 p.) 225 1 $aIMF Working Papers 300 $aDescription based upon print version of record. 311 $a1-4755-6220-9 311 $a1-4755-0552-3 320 $aIncludes bibliographical references. 327 $aCover; Contents; I. Introduction; II. The Chicago Plan in the History of Monetary Thought; A. Government versus Private Control over Money Issuance; B. The Chicago Plan; III. The Model under the Current Monetary System; A. Banks; B. Lending Technologies; C. Transactions Cost Technologies; D. Equity Ownership and Dividends; E. Unconstrained Households; F. Constrained Households; G. Unions; H. Manufacturers; I. Capital Goods Producers; J. Capital Investment Funds; K. Government; 1. Monetary Policy; 2. Prudential Policy; 3. Fiscal Policy; 4. Government Budget Constraint; L. Market Clearing 327 $aIV. The Model under the Chicago PlanA. Banks; B. Households; C. Manufacturers; D. Government; 1. Monetary Policy; 2. Prudential Policy; 3. Fiscal Policy; 4. Government Budget Constraint; 5. Controlling Boom-Bust Cycles - Additional Considerations; V. Calibration; VI. Transition to the Chicago Plan; VII. Credit Booms and Busts Pre-Transition and Post-Transition; VIII. Conclusion; References; Figures; 1. Changes in Bank Balance Sheet in Transition Period (percent of GDP); 2. Changes in Government Balance Sheet in Transition Period (percent of GDP) 327 $a3. Changes in Bank Balance Sheet - Details (percent of GDP)4. Transition to Chicago Plan - Bank Balance Sheets; 5. Transition to Chicago Plan - Main Macroeconomic Variables; 6. Transition to Chicago Plan - Fiscal Variables; 7. Business Cycle Properties Pre-Transition versus Post-Transition 330 3 $aAt the height of the Great Depression a number of leading U.S. economists advanced a proposal for monetary reform that became known as the Chicago Plan. It envisaged the separation of the monetary and credit functions of the banking system, by requiring 100% reserve backing for deposits. Irving Fisher (1936) claimed the following advantages for this plan: (1) Much better control of a major source of business cycle fluctuations, sudden increases and contractions of bank credit and of the supply of bank-created money. (2) Complete elimination of bank runs. (3) Dramatic reduction of the (net) public debt. (4) Dramatic reduction of private debt, as money creation no longer requires simultaneous debt creation. We study these claims by embedding a comprehensive and carefully calibrated model of the banking system in a DSGE model of the U.S. economy. We find support for all four of Fisher's claims. Furthermore, output gains approach 10 percent, and steady state inflation can drop to zero without posing problems for the conduct of monetary policy. 410 0$aIMF Working Papers; Working Paper ;$vNo. 2012/202 606 $aBanking law$zUnited States 606 $aBanks and banking$zUnited States 606 $aBanks and Banking$2imf 606 $aMoney and Monetary Policy$2imf 606 $aIndustries: Financial Services$2imf 606 $aPublic Finance$2imf 606 $aAccounting$2imf 606 $aFinancial Markets and the Macroeconomy$2imf 606 $aMonetary Policy$2imf 606 $aBanks$2imf 606 $aDepository Institutions$2imf 606 $aMicro Finance Institutions$2imf 606 $aMortgages$2imf 606 $aMonetary Policy, Central Banking, and the Supply of Money and Credit: General$2imf 606 $aFinancial Institutions and Services: Government Policy and Regulation$2imf 606 $aDebt$2imf 606 $aDebt Management$2imf 606 $aSovereign Debt$2imf 606 $aPublic Administration$2imf 606 $aPublic Sector Accounting and Audits$2imf 606 $aBanking$2imf 606 $aMonetary economics$2imf 606 $aFinance$2imf 606 $aFinancial services law & regulation$2imf 606 $aPublic finance & taxation$2imf 606 $aFinancial reporting, financial statements$2imf 606 $aLoans$2imf 606 $aCredit$2imf 606 $aBank credit$2imf 606 $aCapital adequacy requirements$2imf 606 $aMoney$2imf 606 $aFinancial institutions$2imf 606 $aPublic debt$2imf 606 $aFinancial statements$2imf 606 $aPublic financial management (PFM)$2imf 606 $aBanks and banking$2imf 606 $aAsset requirements$2imf 606 $aDebts, Public$2imf 606 $aFinance, Public$2imf 607 $aUnited States$2imf 615 0$aBanking law 615 0$aBanks and banking 615 7$aBanks and Banking 615 7$aMoney and Monetary Policy 615 7$aIndustries: Financial Services 615 7$aPublic Finance 615 7$aAccounting 615 7$aFinancial Markets and the Macroeconomy 615 7$aMonetary Policy 615 7$aBanks 615 7$aDepository Institutions 615 7$aMicro Finance Institutions 615 7$aMortgages 615 7$aMonetary Policy, Central Banking, and the Supply of Money and Credit: General 615 7$aFinancial Institutions and Services: Government Policy and Regulation 615 7$aDebt 615 7$aDebt Management 615 7$aSovereign Debt 615 7$aPublic Administration 615 7$aPublic Sector Accounting and Audits 615 7$aBanking 615 7$aMonetary economics 615 7$aFinance 615 7$aFinancial services law & regulation 615 7$aPublic finance & taxation 615 7$aFinancial reporting, financial statements 615 7$aLoans 615 7$aCredit 615 7$aBank credit 615 7$aCapital adequacy requirements 615 7$aMoney 615 7$aFinancial institutions 615 7$aPublic debt 615 7$aFinancial statements 615 7$aPublic financial management (PFM) 615 7$aBanks and banking 615 7$aAsset requirements 615 7$aDebts, Public 615 7$aFinance, Public 700 $aKumhof$b Michael$01472664 701 $aBenes$b Jaromir$0866239 801 0$bDcWaIMF 906 $aBOOK 912 $a9910786481003321 996 $aThe Chicago Plan Revisited$93858197 997 $aUNINA