The turmoil of recent years has prompted critics to maintain that many economic models, and particularly macroeconomic models based on rational expectations, have been proven to be fundamentally flawed. Much of the criticism directed towards forecasting and macroeconomic analysts has probably been misplaced.
It has never been so much about economic models being wrong, as it is about understanding that all models are limited – by definition – and that models that limit certain types of relationships will eventually fail when those relationships in the real world change.