Cummins, Jason G.; Hassett, Kevin A.; Oliner, Stephen D. - Federal Reserve Board (Board of Governors of the … - 1999
the expected returns to investment. We find that investment responds significantly -- in both economic and statistical … terms -- to our new measures of fundamentals. Our estimates imply that the elasticity of the investment-capital ratio with … with investment spending, even for selected subsamples of firms -- those paying no dividends and those without bond ratings …