The cost of reserves

C-Tier
Journal: Economics Letters
Year: 2008
Volume: 100
Issue: 1
Pages: 39-42

Score contribution per author:

1.005 = (α=2.01 / 1 authors) × 0.5x C-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

The cost of holding reserves is often estimated as the sovereign spread over the risk-free return on reserves paid on the debt issued to purchase them, which ignores the benign effect of reserves on the spread. This paper illustrates this numerically, showing that these costs, as typically measured, may have been considerably overstated.

Technical Details

RePEc Handle
repec:eee:ecolet:v:100:y:2008:i:1:p:39-42
Journal Field
General
Author Count
1
Added to Database
2026-01-25