An argument for studying macroeconomics

Posted on January 22, 2013 by

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?

PotentialvActual

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. http://faculty.chicagobooth.edu/owen.zidar/index.html
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One Response to An argument for studying macroeconomics

  1. Barry says:
    January 22, 2013 at 5:47 pm

    Shouldn’t potential GDP be shifted due to the evident structural break?

    Reply

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