The Effects of Extrapolation on Minimax Stein-Rule Prediction* *The authors would like to thank Minbo Kim and Shengyi Guo for their valuable research assistance on this research project. The authors received useful comments from Roger Koenker, Mary Ellen Bock and Jim Chalfant. Any errors are, of course, the responsibility of the authors. Fomby is grateful for the partial financial support provided by the Federal Reserve Bank of Dallas while this research was in progress, especially during the summer of 1989. Of course, the opinions expressed herein are those of the authors and should not be attributed to the Federal Reserve Bank of Dallas or the Federal Reserve System.