This paper addresses the question of how changes in stock market wealth and housing wealth affect consumption … stock market wealth. We estimate the link between consumption and the components of wealth using panel-data estimation … housing wealth and stock market wealth have a significant effect on Australian consumption. We estimate that a permanent …

This paper analyzes a model of investment with fixed investment costs and capital market imperfections. In this model … finance influences the level of capital firms hold, as well as the frequency at which they invest. In consequence investment …, when the short-run investment function is estimated, liquidity has a significant impact, which is also strongest for strong …

their investment decisions. Moreover, financial con-straints become more severe in times of restrictive monetary policy. JEL …

their investment decisions. Moreover, financial con-straints become more severe in times of restrictive monetary policy. …

We review the changes in modelling strategy and econometric methodology when estimating a firm-level investment … correction, traditional between- and within-firm estimation versus GMM estimation, the investment behavior of French firms versus … that of U.S. firms, and investment behavior today versus ten to twenty years ago. Although the econometric advances have …

causal relationship among sales and cash flow on the one hand and investment and R&D on the other, using three large panels … investment and R&D are more highly sensitive to cash flow and sales in the United States than in France and Japan. Corresponding …, both investment and R&D predict both cash flow and sales positively in the United States, while the impact is somewhat more …