IS-LM- BP: An Inquest

IS-LM- BP: An Inquest

1. Formal mathematicals and geometric models of trade of capital flows, exchange rate movements emerged over the past seventy years

2. Roy Harrod and James Meade

   • Floating exchange rates free capital movements

3. Macroeconomics

4. International macroeconomic model

   • Closed economy model IS-LM
     • Open economy version
       • IS-LM-BP
         • Flanders
         • Isard
         • Kenen
         • Fixed and flexible exchange rates and all degrees of capital mobility
           • Metzler
             • Dynamic system
             • General equilibrium of the two- country system
               • Dual nature investment: stable and unstable
           • Meade
             • Contains principal equations of an international macroeconomic model using three- market model