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This volume contains a refereed selection of revised papers which were originally presented at the Second International Conference on Econometric Decision Models, University of Hagen (FernUni versitat). The conference was held in Haus Nordhelle, a meeting place in the mountainous area ' Sauerland' , some 50 kilometers south of Hagen, on August 29 - September 1, 1989. Some details about this conference are given in the first paper, they need not be repeated here. The 40 papers included in this volume are organized in 10 'parts', shown in the table of contents. Included are such 'fashionable' topics like 'optimal control', 'cointegration' and 'rational expec tations models'. In each part, the papers have been arranged alphabetically by author, unless there were good reasons for a different arrangement. To facilitate the decision making of the readers, all papers (except a few short ones) contain an abstract, a list of keywords and a table of contents. At the end of the proceedings volume, there is a list of authors. More than ten years ago, I began to organize meetings of econometricians, mainly called 'seminar' or ' colloquium'. One major purpose of these meetings has always been to improve international cooperation of econometric model builders (and model users) from 'the East' and 'the West'. Unprecedented changes to the better have taken place recently ('perestroika'). For a large fraction of participants from the Soviet Union, the 1989 conference was the first conference in a Western country.
