Meaning: The quote you've provided refers to the work of the SSRC (Social Science Research Council) committee, particularly the shift in their focus from building a model of the United States to one for world trade. This shift in focus was motivated by the committee's desire to investigate the international transmission mechanism, a concept that is central to understanding the interconnectedness of global economies. The quote is attributed to Lawrence Klein, an economist who made significant contributions to the field of econometrics and is best known for developing the first macroeconomic model of the United States economy.

The SSRC committee's decision to shift its attention from team research for building a model of the United States to one for world trade reflects the growing importance of understanding the dynamics of international trade and its impact on national economies. This shift in focus aligns with the broader trend in economics towards studying the interconnectedness of global economies and the complexities of international trade and finance.

The decision to investigate the international transmission mechanism also reflects the recognition of the interconnected nature of the global economy. The international transmission mechanism refers to the process through which economic shocks or policy changes in one country are transmitted to other countries through trade, financial linkages, and other channels. Understanding this mechanism is crucial for policymakers and economists as they seek to comprehend the spillover effects of economic events and policies across borders.

Lawrence Klein's role in the development of econometric models and his involvement with the SSRC committee underscores his expertise in the field of economics. Klein was awarded the Nobel Memorial Prize in Economic Sciences in 1980 for his development of econometric models and the application of these models to the analysis of economic fluctuations and policies. His work has had a profound impact on the field of economics, particularly in the areas of macroeconomic modeling and forecasting.

The decision to shift focus from a national model to a global trade model also reflects the increasing globalization of the world economy. As international trade and finance have become more interconnected, understanding the dynamics of global trade and its impact on individual economies has become increasingly important. The SSRC committee's decision to investigate the international transmission mechanism demonstrates a proactive approach to understanding and addressing the challenges posed by the globalized nature of modern economies.

In conclusion, the quote by Lawrence Klein highlights the evolving focus of the SSRC committee from building a model of the United States to investigating world trade and the international transmission mechanism. This shift in focus reflects the increasing importance of understanding the interconnectedness of global economies and the impact of international trade on national economies. Lawrence Klein's expertise in econometric modeling and his contributions to the field of economics further emphasize the significance of this shift in focus and the broader trend towards studying the complexities of the global economy.