A dynamic IS-LM model with relaxation oscillations

Abstract

In this paper, we show the existence of relaxation oscillations in the economy. For description of macroeconomic situation, we use the fundamental equilibrium model called IS-LM model.

Keywords:

• IS-LM model
• relaxation oscillations
• macroeconomic stability

AMS Subject Classifications:

• 37N40
• 91B50
• 91B55

Disclosure statement

No potential conflict of interest was reported by the author.

Additional information

Funding

The research was supported by the Student Grant Competition of Silesian University in Opava [grant number SGS/19/2010], [grant number SGS/2/2013].