Much has been written about why economists failed to predict the latest fi nancial and real crisis. Reading the recent literature, it seems that the crisis was so obvious that economists must have been blind when looking at data not to see it coming. In this paper, we analyze whether such claims...

Macroeconomic Theory and History -- Basic Macroeconomic Model -- Exogenous and Endogenous Fluctuations -- Exogenous and Endogenous Growth -- Asset Prices and Bubbles -- Credit Cycle -- Cash Payment and Inflation -- Complete and Incomplete Markets -- Liquidity Constraints -- Endogenously...

We investigate the information content of aggregate stock market liquidity and ask whether it may be a useful realtime indicator, both for financial stress, and real economic activity in Norway. We describe the development in a set of liquidity proxies at the Oslo Stock Exchange (OSE) for the...