Noisy Business Cycles
---- Acknowledgements -----
This paper was prepared for the 2009 NBER Macroeconomics Annual. We are grateful for their detailed feedback to our discussants, Christian Hellwig and Robert King, and the organizers, Daron Acemoglu, Kenneth Rogoff, and Michael Woodford. We also received useful comments from Rphilippe Bacchetta, Ricardo Caballero, Emmanuel Farhi, Mikhail Golosov, Guido Lorenzoni, Ellen McGrattan, Patrick Kehoe, Ricardo Lagos, Stephen Morris, Alessandro Pavan, Ricardo Reis, Robert Shimer, Robert Townsend, and seminar participants at MIT, the University of Wisconsin at Madison, the Federal Reserve Bank of Minneapolis, the Federal Reserve Board, the World Bank and the 2009 NBER Macroeconomics Annual. The views expressed herein are those of the author(s) and do not necessarily reflect the views of the National Bureau of Economic Research.