Before revision:  For US macroeconomic data we demonstrate that, unlike non-fractional correlated unobserved components models, the new model estimates a smooth trend together with a cycle hitting all NBER recessions  .
After revision:  For US macroeconomic data we demonstrate that, unlike non-fractional correlated unobserved components models, the new model estimates a smooth trend together with a cycle hitting all NBER recessions . While I(1) unobserved components models yield an upward-biased signal-to-noise ratio whenever the integration order of the data-generating mechanism is greater than one, the fractionally integrated model attributes less variation to the long-run shocks due to the fractional trend specification and a higher variation to the cycle shocks due to the fractional lag operator, leading to more persistent cycles and smooth trend estimates that reflect macroeconomic common sense .