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El modelo IS-LM: una revisión crítica

Author

Listed:
  • Liquitaya, José D.

    (Profesor Investigador del Área de Teoría Económica, Departamento de Economía, Universidad Autónoma Metropolitana-Iztapalapa, México, D. F.)

  • Ramírez, Miguel Ángel

    (Profesor Investigador del Área de Teoría Económica, Departamento de Economía, Universidad Autónoma Metropolitana-Iztapalapa, México, D. F.)

Abstract

In this paper a critical analysis of the IS-LM model is made. Previously, the backgrounds, general characteristics and logic-formal expression of the basic model are examined. With this support and some diagrams it is shown that the model contains limitations as analytical instrument. Among them are: 1) the different dimension of the variables whose equilibrium conforms the curves IS, on one hand, and LM for other; 2) the confusion about the effects that can have the real disturbances and nominal ones about the decomposition of the nominal product between prices and real product; 3) the incompatibility of its analysis with the postulates of rationality, and 4) the logical impossibility of deriving the Aggregate Demand curve from IS-LM outline when the prices are flexible.

Suggested Citation

  • Liquitaya, José D. & Ramírez, Miguel Ángel, 2008. "El modelo IS-LM: una revisión crítica," Revista Nicolaita de Estudios Económicos, Universidad Michoacana de San Nicolás de Hidalgo, Instituto de Investigaciones Económicas y Empresariales, vol. 0(2), pages 9-36.
    • Handle: RePEc:ris:rnicee:0013
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    More about this item

    Keywords

    IS-LM model; aggregate demand; aggregate supply; labor market.;
    All these keywords.

    JEL classification:

    • E12 - Macroeconomics and Monetary Economics - - General Aggregative Models - - - Keynes; Keynesian; Post-Keynesian; Modern Monetary Theory
    • E13 - Macroeconomics and Monetary Economics - - General Aggregative Models - - - Neoclassical
    • E52 - Macroeconomics and Monetary Economics - - Monetary Policy, Central Banking, and the Supply of Money and Credit - - - Monetary Policy
    • E62 - Macroeconomics and Monetary Economics - - Macroeconomic Policy, Macroeconomic Aspects of Public Finance, and General Outlook - - - Fiscal Policy; Modern Monetary Theory

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