This note gives students an overview of the Mundell-Fleming model, also known as IS-LM-BP model. Model is useful in understanding the effects of capital controls (usually in the fixed exchange rates) on the macroeconomic performance of the country. This allows you to determine the equilibrium income and this income as a response to the economic policies and shocks. It combines the currency market (BP curve), goods market (IS curve) and money market (LM curve). "Hide
by Melissa M. Appleyard Source: Darden School of Business 10 pages. Publication Date: November 1, 2001. Prod. #: UV4012-PDF-ENG
Related Case Solutions & Analyses:
Williamsons Contribution and Its Relevance to 21st Century Capitalism
Advanced Leadership Note: An Institutional Perspective and Framework for Managing and Leading
The Business Environment of Nigeria
Ghana: National Economic Strategy
Public Law: The Rules of the Game
Hydro: From Utsira to Future Energy Solutions
Showdown on the Waterfront: The West Coast Port Dispute (A)
Welfare State and its Impact on Business Competitiveness: Sweden Inc. for Sale
Beyond Selfishness
Economic Reform in the Czech Republic: Velvet Revolution or Velvet Blanket
