Chapter 5 Goods and financial Markets: The s-LM Model 且经济学院1
1 Chapter 5 Goods and Financial Markets: The IS-LM Model 0 10 20 30 40 90 91 92 93 94 95 96 97 98 99 00
Topics to be Discussed o 5.1 The Goods Market Equilibrium and s curve o 5.2 Financial markets and M curve o 5.3 Goods and Financial markets:s. LM Model 友学经济学院
Topics to be Discussed 5.1 The Goods Market Equilibrium and IS Curve 5.2 Financial Markets and LM Curve 5.3 Goods and Financial Markets: ISLM Model
5. 1S Curve o The Goods Market Equilibrium o The Demand The Supply o The Goods Market equilibrium and the is Curve Conditions For Equilibrium: I=S(Classical Method) I=e-dR S=-a+(1-b)y 友学经济学院
5.1 IS Curve The Goods Market Equilibrium ❖ The Demand = The Supply The Goods Market Equilibrium and the IS Curve ❖ Conditions For Equilibrium：I=S (Classical Method) I = e − dR S = −a + (1− b)Y
5. 1S Curve S=0.2Y-40 l=260-2000R Conditions For Equilibrium: S=I 0.2Y-40=260-2000R IS Curve: Y=1500-10000R(Classical Method) 友学经济学院
5.1 IS Curve ❖ S = 0.2Y - 40 I = 260 – 2000R ❖ Conditions For Equilibrium： S = I ❖ 0.2Y - 40 = 260 – 2000R ❖ IS Curve ： Y = 1500 – 10000R (Classical Method)
5.1 S Curve Y=1500-10000R R IS Curve 500 0.1 700 0.08 900 0.06 1100 0.04 1300 0.02 700900110013001500 1500 0 友学经济学院
5.1 IS Curve ❖ Y = 1500 – 10000R IS Curve 0 0.02 0.04 0.06 0.08 0.1 0.12 500 700 900 1100 1300 1500 Y Y RR 500 0.1 700 0.08 900 0.06 1100 0.04 1300 0.02 1500 0