American Economic Policy In The 1990s

American Economic Policy in the 1990s This page intentionally left blank American Economic Policy in the 1990s Editors: Jeffrey Frankel Peter Orszag MIT Press Cambridge, Massachusetts ( 2002 Massachusetts Institute of Technology All rights reserved. No part of this book may be reproduced in any form by any electronic or mechanical means (including photocopying, recording, or information storage and retrieval) without permission in writing from the publisher. This book was set in Palatino on 3B2 by Asco Typesetters, Hong Kong, and was printed and bound in the United States of America. Library of Congress Cataloging-in-Publication Data American economic policy in the 1990s / editors, Jeffrey Frankel, Peter Orszag. p. cm. Includes bibliographical references and index. ISBN 0-262-06230-5 1. United States—Economic policy—1993–2001. 2. United States—Economic conditions—1981–2001. I. Frankel, Jeffrey A. II. Orszag, Peter R. HC106.82.A456 2002 338.9730 0090 049—dc21 2002019898 Contents Preface and Acknowledgments Introduction xi 1 I Macroeconomics 1 Monetary Policy 19 U.S. Monetary Policy During the 1990s N. Gregory Mankiw panelists Alan Blinder 19 44 William Poole Alice M. Rivlin 48 52 Summary of Discussion 2 Fiscal Policy 56 61 Fiscal Policy and Social Security Policy During the 1990s Douglas W. Elmendorf, Jeffrey B. Liebman, and David W. Wilcox panelists Martin Feldstein 120 Rudolph G. Penner Robert Rubin 126 130 Summary of Discussion 136 61 vi 3 Contents<