Bofinger, Peter; Mayer, Eric; Wollmershäuser, Timo; … - Wirtschaftswissenschaftliche Fakultät, Bayerische … - 2003
While the IS/LM-AS/AD model is still the central tool of macroeconomic teaching it has been criticised by several economists. The model is unable to deal with a monetary policy that uses the interest rate as its operating target ( Romer [2000]). Walsh [2002] has criticised that it is not suited...
