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He taught at Harvard University between and , after which time he returned to MIT as a professor. Blanchard has published numerous research papers in the field of macroeconomics , as well as undergraduate and graduate macroeconomics textbooks. In , together with Nobuhiro Kiyotaki , Blanchard demonstrated the importance of monopolistic competition for the aggregate demand multiplier. During the Great Recession Blanchard supported global fiscal stimulus. During its slow recovery he urged a cautious removal of stimulus and advocated quantitative easing. There was a global turn to austerity as Washington Consensus economists encouraged governments to cut spending and raise taxes to avoid a government debt crisis, as occurred in Greece. Blanchard issued "what amounted to a mea culpa. Ostry and Andy Berg published their findings that "inequality was detrimental to sustained growth. Though inequality has always been perceived to be a central issue, until recently it was not seen as having major implications for macroeconomic developments. This belief is increasingly called into question. How inequality affects both the macroeconomy, and the design of macroeconomic policy, will likely be increasingly important items on our agenda for a long time to come.