Modern Macroeconomics in Practice: How Theory is Shaping Policy
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*We are grateful to James Hines, Andrei Shleifer, Timothy Taylor, and Michael Waldman for excellent comments and to Kathy Rolfe and Joan Gieseke for excellent editorial assistance. Both authors thank the NSF for support. The views expressed herein are those of the authors and not necessarily those of the Federal Reserve Bank of Minneapolis or the Federal Reserve System.