• Title of article

    IS–LM and the multiplier: A dynamic general equilibrium model

  • Author/Authors

    Jean-Pascal Benassy، نويسنده ,

  • Issue Information
    روزنامه با شماره پیاپی سال 2007
  • Pages
    7
  • From page
    189
  • To page
    195
  • Abstract
    We construct a dynamic general equilibrium model which displays the central features of the IS–LM model, and notably an income multiplier greater than one, so that crowding out does not occur. A key to this result is the conjunction of two features: price rigidities (as is usually expected), but also a non-Ricardian economy.
  • Keywords
    IS–LM model , Multiplier , Dynamic stochastic general equilibrium models
  • Journal title
    Economics Letters
  • Serial Year
    2007
  • Journal title
    Economics Letters
  • Record number

    436282