[berdyanskdotsu]

1) this result is broadly inconsistent with the saez paper, which found a high income elasticity of 0.57. Even if she disagrees with the result, romer should have mentioned the paper, as it is by far the most on point recent paper (and given any objections she has or any story she wants to tell to try to reconcile the two)
2) as always, this is a short term estimate of elasticity. Longer term estimates are likely to be substantially higher (e.g. Euroland vs the US).