"Yes, IS-LM simplifies things a lot, and can’t be taken as the final word. But it has done what good economic models are supposed to do: make sense of what we see, and make highly useful predictions about what would happen in unusual circumstances. Economists who understand IS-LM have done vastly better in tracking our current crisis than people who don’t."
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Paul Krugman, "IS-LMentary", in his blog (October 9, 2011)
https://en.wikiquote.org/wiki/IS%E2%80%93LM_model
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IS–LM model
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