| Abstract: | The remarkable economic success of the United States in the1990s led many observers to talk about a ‘New Economy’.This paper provides an overview of the main issues, includingfaster productivity growth, the stability of inflation despitevery low unemployment, the reduction in output volatility, therole of monetary policy, and the boom in the stock market. Thepaper also considers whether or not the acceleration in productivitygrowth can be sustained, and the possible implications for therest of the world. |
