NATIONAL BUREAU OF ECONOMIC RESEARCH
NATIONAL BUREAU OF ECONOMIC RESEARCH

A Theory of Demand Shocks

Guido Lorenzoni

NBER Working Paper No. 12477
Issued in August 2006

---- Acknowledgements -----

An earlier version of this paper circulated under the title: "Imperfect Information, Consumer Expectations, and Business Cycles." I gratefully acknowledge the useful comments of Marios Angeletos, Olivier Blanchard, Ricardo Caballero, Michele Cavallo, Mark Gertler, Veronica Guerrieri, Christian Hellwig, Steve Morris, Nancy Stokey, Laura Veldkamp, Ivan Werning, Mike Woodford and seminar participants at MIT, University of Virginia, Ohio State University, UCLA, Yale, NYU, Ente Einaudi-Rome, the Minnesota Workshop in Macro Theory, Columbia University, Boston College, University of Michigan, University of Cambridge, LSE, UCL, NBER EFG, Northwestern, Boston University.

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