Spatiotemporal dynamics of a delayed IS-LM model with interest rate and general investment function

Abstract

In this paper, we develop a mathematical model that describes the spatiotemporal dynamics of business cycle under the goods and services market as well as the money market. We first prove that the developed model is mathematically and economically well-posed. The conditions for the existence of economic equilibrium are rigorously established. Moreover, the stability analysis and the existence of Hopf bifurcation are carefully investigated. Finally, our theoretical results are illustrated with some numerical simulations.