Skip to main content

December 1984

Ruminations on Karl Brunner's Reflections

by Alan S. Blinder

In his discussion of Karl Bruner’s paper, “Fiscal Policy in Macro Theory: A Survey and Evaluation,” Alan S. Blinder’s disagrees most emphatically with Bruner’s attempt to resurrect and legitimize the old reduced form approach, but he agrees with most of what he says about the government budget constraint and the non-Ricardian equivalence theorem.