THIS IS THE THIRD ISSUE OF Brookings Papers on Economic Activity,
a publication that appears three times a year and contains the articles, reports,
and highlights of the discussion from conferences of the Brookings
Panel on Economic Activity. Financed by grants from the Alfred P. Sloan
Foundation and the Alex C. Walker Foundation, the panel was formed to
promote professional research and analysis of key developments in U.S.
economic activity. Prosperity and price stability are its basic subjects.