What is keynesian model, Macroeconomics

Assignment Help:

Q. What is Keynesian model?

Keynesian model is slightly more complicated than the classic model and it is developed in four stages by analysing four separate models. Every model has, though, a value in itself. The models we will consider and the key characteristics of each are: 

  • Cross model: W, P and R are constant (and exogenous).
  • IS-LM model: W, P are constant and R is endogenous.
  • AS-AD model: W is constant, P and R are endogenous.
  • The full Keynesian model: W is exogenous (but not constant), P and R are endogenous.

Once we have developed full Keynesian model, we will combine it with clasmodel that will lead to the neoclassical synthesis.


Related Discussions:- What is keynesian model

Stock trading company, An online stock trading company makes part of their ...

An online stock trading company makes part of their revenue from clients when the clients trade stocks therefore, it is important to the company to have an good idea of how many tr

Purchasing power, One problem in using exchange rate when comparing GDP per...

One problem in using exchange rate when comparing GDP per capital between countries is that is fluctuates a lot. A way of avoiding dependence on exchange rate is to use purchasing

Principal causes of high population growth, List and briefly describe the p...

List and briefly describe the principal causes of high population growth in developing countries and the major consequences.

Economists finance manager functional areas of MANAGEMENT, The primary func...

The primary functions of economists are to teach, contribute research and empirical findings and formulate policies. Most of the professional economists are associated with academi

the effect of on reserves and the monetary base, Many developing countries...

Many developing countries have suffered banking crises in which depositors lost part or all of their deposits (in some countries there is no deposit insurance). This type of crisis

Budget balanced, Given a four sector economy how do you find the budget bal...

Given a four sector economy how do you find the budget balanced

How central banks increase the monetary base, How central banks increase th...

How central banks increase the monetary base When the Central Bank cuts the target rate, they must simultaneously increase the monetary base by buying government securities. The

Ricardo Viner Model, How does the Ricardo Viner diagram react when once pri...

How does the Ricardo Viner diagram react when once price changes, effects on real wages, and labor allocation?

Public sector, Are there any current subsidy or welfare issues that are bei...

Are there any current subsidy or welfare issues that are being discussed or addressed in parliament or in municipalities

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd