Dear Prof. Delong,(posted 8755 days ago)I read your article in the International Herald Tribune and found it very interesting. In my work on portuguese stability programme the issue of growth potential and Nairu was raised by Commission officials. We agree to disagree. It does not mean that we are right - that is raising growth prospects and low inflation - or that a more conservative view is not better. In OECD forecasting business, the US case as you presented has been in discussion for some years - known as the hard-landing vs smooth landing scenario. After two or three years of dire predictions on the US economy, OECD just stop worrying about the latter. I agree with you that we need better theory to understand the US experience.