Another Critique for DSGE Models

I found this simplified critique of DSGE models (Policy Brief), written by Olivier Blanchard that was published in August of last year. I think he outlines several key flaws in the microeconomic foundations of the DSGE models in a streamlined manner. It is a short article, restating some of what we have found in class, but I think it can be useful as a guideline.

 

https://piie.com/system/files/documents/pb16-11.pdf

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