Payment Systems in the Financial Markets

The payment system is one of the mechanisms essential to the working of an exchange economy. Over the last decade, central banks have been determined to improve their payment systems to harmonise and reduce risk, and in Europe to anticipate their future interconnection in the TARGET system. This book provides the analytic framework for an informed policy debate on the implications for monetary policy. Foreword; A.Steinherr - Preface - Introduction - PART 1: THE ANALYTICS OF RTGS SYSTEMS - The Analytics of a Real-Time Gross-Settlement System - Extensions to the Basic Framework - PART 2: THE PROVISION OF INTRADAY LIQUIDITY IN RTGS SYSTEMS - Priced Unsecured Intraday Overdraft Facilities - The Cost of Secured Intraday Overdraft Facilities - PART 3: MONETARY POLICY IMPLICATIONS OF RTGS SYSTEMS - Monetary Policy Implications of an Intraday Liquidity Market - Summary and Final Considerations - References - Index