Does the Mundell-Fleming Model apply to Poland?
Applying an extended IS-LM model to Poland, this paper finds that fiscal expansion does not raise output but causes real appreciation and that monetary expansion increases output and leads to real depreciation. Besides, a lower real interest rate, a higher real stock price or a lower expected inflat...
| Main Author: | |
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| Format: | Article |
| Language: | English |
| Published: |
General Association of Economists from Romania
2019-12-01
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| Series: | Theoretical and Applied Economics |
| Subjects: | |
| Online Access: |
http://store.ectap.ro/articole/1433.pdf
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| _version_ | 1819266295931076608 |
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| author | Yu HSING |
| author_facet | Yu HSING |
| author_sort | Yu HSING |
| collection | DOAJ |
| description | Applying an extended IS-LM model to Poland, this paper finds that fiscal expansion does
not raise output but causes real appreciation and that monetary expansion increases output and
leads to real depreciation. Besides, a lower real interest rate, a higher real stock price or a lower
expected inflation rate helps raise output; and a higher real interest rate, a higher real stock price
or a lower expected inflation rate results in real appreciation. Hence, the predictions of the Mundell-
Fleming model are applicable to Poland. |
| first_indexed | 2024-12-23T20:59:01Z |
| format | Article |
| id | doaj.art-956ac2368bfd4e20ba4a51cb034709a5 |
| institution | Directory Open Access Journal |
| issn | 1841-8678 1844-0029 |
| language | English |
| last_indexed | 2024-12-23T20:59:01Z |
| publishDate | 2019-12-01 |
| publisher | General Association of Economists from Romania |
| record_format | Article |
| series | Theoretical and Applied Economics |
| spelling | doaj.art-956ac2368bfd4e20ba4a51cb034709a52022-12-21T17:31:26ZengGeneral Association of Economists from RomaniaTheoretical and Applied Economics1841-86781844-00292019-12-01XXVI426527218418678Does the Mundell-Fleming Model apply to Poland?Yu HSING0 Southeastern Louisiana University, Hammond, Louisiana, USA Applying an extended IS-LM model to Poland, this paper finds that fiscal expansion does not raise output but causes real appreciation and that monetary expansion increases output and leads to real depreciation. Besides, a lower real interest rate, a higher real stock price or a lower expected inflation rate helps raise output; and a higher real interest rate, a higher real stock price or a lower expected inflation rate results in real appreciation. Hence, the predictions of the Mundell- Fleming model are applicable to Poland. http://store.ectap.ro/articole/1433.pdf fiscal expansionmonetary expansionexchange ratesmundell-fleming model |
| spellingShingle | Yu HSING Does the Mundell-Fleming Model apply to Poland? Theoretical and Applied Economics fiscal expansion monetary expansion exchange rates mundell-fleming model |
| title | Does the Mundell-Fleming Model apply to Poland? |
| title_full | Does the Mundell-Fleming Model apply to Poland? |
| title_fullStr | Does the Mundell-Fleming Model apply to Poland? |
| title_full_unstemmed | Does the Mundell-Fleming Model apply to Poland? |
| title_short | Does the Mundell-Fleming Model apply to Poland? |
| title_sort | does the mundell fleming model apply to poland |
| topic | fiscal expansion monetary expansion exchange rates mundell-fleming model |
| url |
http://store.ectap.ro/articole/1433.pdf
|
| work_keys_str_mv | AT yuhsing doesthemundellflemingmodelapplytopoland |