English

Can we explain unexpected fluctuations of long-term real interest rate?

General Finance 2019-03-21 v2 Dynamical Systems

Abstract

In this paper, we present own point of view how the unexpected fluctuations of the long-term real interest rate can be explained. We describe a macroeconomic environment by the modification of the fundamental macroeconomic equilibrium model called the IS-LM model. Last but not least, we suggest a possible cooperation between the fiscal and monetary policy to reduce these fluctuations. Our modelling is demonstrated on an illustrative example.

Keywords

Cite

@article{arxiv.1211.2709,
  title  = {Can we explain unexpected fluctuations of long-term real interest rate?},
  author = {Barbora Volná},
  journal= {arXiv preprint arXiv:1211.2709},
  year   = {2019}
}

Comments

24 pages, 13 figures. arXiv admin note: substantial text overlap with arXiv:1203.1020