impact of a shock can be boiled down into two components: its "pure" technology effect; and its effect on allocative …

We analyze private fixed investment in the U.S. over the past 30 years. We show that investment is weak relative to … two broad categories of explanations: theories that predict low investment because of low Q, and theories that predict low … investment despite high Q. We argue that the data does not support the first category, and we focus on the second one. We use …

We provide empirical evidence that a positive shock to technology drives per capita hours worked, consumption …, investment, average productivity and output up. This evidence contrasts sharply with the results reported in a large and growing … literature that argues, on the basis of aggregate data, that per capita hours worked fall after a positive technology shock. We …

shareholders and managers in which managers have private benefits or private costs of investment. Managers overinvest when they … compensation, investment, and firm performance for both cases. The relationship between firm performance and managerial incentives …, in isolation, is insufficient to identify whether managers have private benefits or private costs of investment. In order …

hospital data on electrophysiological studies, an invasive cardiac procedure, I find evidence of entry-deterring investment in …