Financial Constraints and Unemployment Equilibrium

Cesaroni GiovanniMessori Marcello
CEIS Working Papers
This paper aims to show (1) that the IS/LM model will be a coherent solution to Keynes’s analysis of unemployment, if the relaxation of the general equilibrium framework is based solely on exogenous price and quantity constraints; (2) that the consequent
Number: 191
Date: Thursday, May 1, 2003
Revision Date: Thursday, May 1, 2003