Recent work by my colleagues at UMass Thomas Herndon, Michael Ash and Robert Pollin (2013)—hereafter HAP—has demonstrated that in contrast to the apparent results in Reinhart and Rogoff (2010), there is no real discontinuity or “tipping point” around 90 percent of debt-to-GDP ratio.

In their response, Reinhart and Rogoff—hereafter RR—admit to the arithmetic mistakes, but argue that the negative correlation between debt-to-GDP ratio and growth in the corrected data still supports their original contention.

Continue reading the post here.