Download This PaperOpen Economy Keynesian Macroeconomics Without the LM Curve
16 Pages Posted: 31 Mar 2013
Date Written: February 1, 2013
Abstract
In this paper, we present a novel framework for macroeconomic analysis, which tries to incorporate recent theoretical developments into a model describing an open economy. The model includes a monetary policy rule instead of the LM function together with an aggregate supply function derived from the Phillips curve, and is later extended to describe the case of a monetary union. This new approach should be useful for teaching purposes.
Keywords: Macroeconomics, monetary rule, open economy, monetary union
JEL Classification: A22, A23, E12, F41
Suggested Citation: Suggested Citation
Bajo-Rubio, Oscar and Diaz-Roldan, Carmen, Open Economy Keynesian Macroeconomics Without the LM Curve (February 1, 2013). Available at SSRN: https://ssrn.com/abstract=2241850 or http://dx.doi.org/10.2139/ssrn.2241850
Do you have a job opening that you would like to promote on SSRN?
Feedback
Feedback to SSRN
If you need immediate assistance, call 877-SSRNHelp (877 777 6435) in the United States, or +1 212 448 2500 outside of the United States, 8:30AM to 6:00PM U.S. Eastern, Monday - Friday.