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The xacro macro base is not defined in that xacro file nor in any file that it includes. I did a quick search of the source in that repository and I couldn't find a macro named base defined anywhere. I don't have the book you mentioned, but perhaps it instructs you to use a package from somewhere else that defines that macro? Even if it does, the seven_dof_arm.xacro file would need to include the file defining the base macro for it to work.