I have a question that requires me to explain the consequences of changing the model assumptions.

Consider the Kiyotaki-Wright model of monetary exchange. We make two changes to the baseline model. (a) Assume that if individuals are indifferent between trading or not, that they decide not to trade. This would be the case if there were small costs associated with trading. (b) Rather than living in an economy that lasts forever, assume that individuals live in an economy that will cease to exist at some known nite time period