USE OF THE MACROECONOMIC MODELS IN THE ANALYSIS OF THE BALANCE VALUE

Tatiana Manole () and Sofia SCUTARI (anghel)
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Tatiana Manole: Institutul National de Cercetari Economice(INCE), Moldova

Economy and Sociology, 2013, issue 2, 21-33

Abstract: This paper investigates the problem of using the macroeconomic models to analyze the balance value. Actually, the analyses are performed under the IS-LM model. Since the balance value depends on the balance of goods and services market and the money market, the authors have studied the possibilities of balance on these two markets in terms of conditions from the Republic of Moldova. There is investigated the ratio of monetary mass and GDP under the law of equality of the amount of money in circulation. The case of the Republic of Moldova indicates a great increase of the monetary mass related to the GDP growth, fact that produces an inflationary effect. The interest rate is a key indicator in analyzing the balance value.

Keywords: macroeconomic models; the IS-LM model; IS curve; LM curve; the goods and services market; money market; government spending (G); income (Y); the interest rate (i) income balance; steady interest rate; consumption; investment; export. (search for similar items in EconPapers)
JEL-codes: B41 C58 E22 E62 (search for similar items in EconPapers)
Date: 2013
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Persistent link: https://EconPapers.repec.org/RePEc:aat:journl:27

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