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Published: декабря 16, 2012

Mundell-Fleming model: Coining of the Expression

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The central articles intheMundell-Fleming canon werewritten in the early1960s. The expression Mundell-Fleming model wasintroduced, at the earliest, five years later. Soon afterthe term became part of the everyday vocabulary ofresearchers in international finance, but it was onlyafter 1975 that the expression was used in print. Althoughmany economists have used the alphabeticalordering of the names in the expression (Kenen1985; Boughton 2003), and some have referred to itas just the ‘‘Fleming model’’ (Cooper 1976), Mundell-Fleming model came into common use byeconomists in the later 1970s and 1980s.During thisperiod even significant extensions of the basicframework were still identified as being part of theMundell-Fleming model (Marston 1985; Frenkeland Razin 1987).

The economists Maurice Obstfeld and KennethRogoff (1996), in their monumental graduate textbookin international finance, refer to the Mundell-Fleming-Dornbuschmodel, and they do not use theconventional name. In the 1990s, Obstfeld andRogoff developed the New Open Economy Macroeconomics(NOEM)model, which has the potentialof supplanting the standard model as the basicbenchmark formulation of the ideas andmechanismsof international financial analysis.