Recent Developments in Macroeocnomics
NBER Working Paper No. 2473 (Also Reprint No. r1201)
This paper surveys much of modern macroeconomics. The focus is on the core macroeconomic issue, of the reasons for macroeconomic fluctuations and sometimes persistent unemployment. To provide continuity and perspective on how promising research leads of the past turned out, the paper starts by summarizing developments since the Barro-Fischer (1976) survey of monetary economics. Sections III and IV develop in some detail the current representations of the two basic approaches to macroeconomics: the equilibrium business cycle approach and new Keynesianism respectively. Brief sketches of developments in several areas of research in Section V broaden the coverage. Section VI contains concluding comments.
Published: The Economic Journal, Vol. 98, No. 391, pp. 294-339, (June 1988).