Mundell-Fleming Dornbusch Model(蒙代尔-弗莱明-多恩布什模型).pdfVIP

Open Economy Macroeconomics 145 Chapter 4: Mundell-Fleming Dornbusch Chapter 4: Mundell-Fleming Dornbusch Model 1. The Mundell-Fleming Model 2. The Dornbusch-Model 3. Empirical Tests of the Mundell-Fleming Model Plan of this chapter: o What are the implications of traditional open economy models for the transmission of shocks across countries? o What is the response of economies to policy shocks (monetary and fiscal policy)? o What do these models imply for the dynamics of the exchange rate? o What is the role for economic policy in an international setting? Open Economy Macroeconomics 146 Chapter 4: Mundell-Fleming Dornbusch Literature: Clarida, R., and J. Gali (1994). Sources of real exchange rate fluctuations: How important are nominal shocks? Carnegie-Rochester Conference on Public Policy 41: 1-56. Eichenbaum, M., and C. Evans (1995). Some empirical evidence on the effects of shocks to monetary policy to the exchange rate. Quarterly Journal of Economics 110: 975-1009. Mark, Nelson (2000), Chapter 8. Malden, MA. Romer, D. (1996). Advanced Macroeconomics, Chapter 5. Boston, MA. ___________________________________________________________________________________________ The material in this document is for use in the lecture “Open Economy Macroeconomics”, held by Professor Claudia Buch at the University of Tübingen, Fall Term 2005/2006, only. It should not be duplicated, quoted, or used elsewhere without prior consent of the author. Open Economy Macroeconomics 147 Chapter 4: Mundell-Fleming Dornbusch 1. The Mundell-Fleming Model: A Review o Open-economy version of the standard Keynesian IS-LM model o New element: exchange rate o Capital flows play a rela