Ah. But, Mark, what real-world questions were DSGE models built to answer? I cannot think of any… Mark Thoma: On Paul Krugman’s: ‘John and Maynard’s Excellent Adventure’: “Models are built to answer specific questions… …IS-LM models were built to answer exactly the kinds of questions we encountered during the Great Recession and… provided good answers…. … Continue reading Lunchtime Must-Read: Mark Thoma: On Paul Krugman’s: ‘John and Maynard’s Excellent Adventure’