An analytical expression of the emission and absorption spectra for a Λ type three-level cavity-bound atom interacting with a two-mode cavity field is given using the dressed states of the system. We take into account explicitly the nonlinearities of both the field and the intensity-dependent atom-field coupling. The characteristics of the emission and absorption spectra when one of the two-mode cavity fields is in a binomial state and the other is in a squeezed coherent state are exhibited. The effects of the mean number of photons, detuning, and the kinds of nonlinearities on the spectra are analyzed.