Rather than answering million or billion dollar questions like microeconomists, macroeconomists try to answer trillion dollar questions.
E.G. Why is actual output below potential output & when (or will) it come back to trend?
From Yuriy Gorodnichenko (both the idea and the graph).
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About ozidar
I'm an Assistant Professor of Economics at the University of Chicago Booth School of Business and a Faculty Research Fellow at National Bureau of Economic Research. You can follow me on twitter @omzidar.
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Shouldn’t potential GDP be shifted due to the evident structural break?