Models / Route
Simple Theoretical Models
Intuition-first frameworks map inflation, output, policy, labor slack, and growth before heavier statistical machinery arrives.
Section NotesRoute notes
See curve shifts immediately as each control moves.
Link output to demand, policy, labor slack, inflation, and long-run growth regimes from Solow to AK, MRW, and Malthusian adjustment.
Keep model interpretation readable and consistent with the macro layer.
Live macro simulations translated from your `MacroGraph_Sims` folder.
Each framework keeps the controls, charts, and equilibrium read in one place.
Swap LM for MP, toggle the Phillips block, and trace how policy shifts output, rates, and inflation.
Interactive demand-policy switcher
Replace the old IS-LM-PC view with a modular policy block: LM or MP on the left, Phillips in the middle, and reduced-form AD when monetary policy is active.
Starts at output potential with inflation on target.
Policy block
Phillips block
BP overlay
Working equations
These are teaching-form equations, not a full microfounded system. The charts stay reduced-form on purpose.
MP / Taylor-style block
i = i₀ + φ_y (Y - Y*) + φ_π (π - π*)
MP is a reduced-form Taylor-style rule with output-gap and inflation-response terms.
Phillips block
π = π̄ + κ(Y - Y*) + ν
Base inflation is the intercept; κ governs how the output gap moves current inflation.
IS block
i = a_IS - b_IS Y
The IS line is a reduced-form goods-market schedule: higher rates lower desired spending.
Key readings
Live output, rate, inflation, and external-rate readings from the active block.
Policy is sitting close to neutral: output is near potential, inflation is around 2.00, and the rate block clears near 2.00.
Equilibrium Output
100.0
Policy / Rate
2.00
Inflation
2.00
Output Gap
0.0
Policy Block
MP
BP Rate at Y
3.00
Parameters
Only the active framework’s controls stay visible so the switcher stays readable.
IS Intercept
IS Slope
Policy Base Rate
Output Response
Base Inflation
PC Slope (κ)
Potential Output (Y*)
Inflation Target
Inflation Response (φπ)
Supply Shock (ν)