The investment theory, in which the expected return varies cross-sectionally with investment, expected profitability …

We propose an empirical implementation of the consumption-investment problem using the martingale representation … simplifies the investor's task of specifying the investment opportunity set and inherits the computational convenience of the …

fluctuations in savings on domestic investment and the current account? In the long run, we find that countries invest the marginal … to smooth consumption, but also domestic investment. To achieve this, they use foreign assets as a buffer stock …

) a fiscal multiplier of one and so a missing intercept close to zero. I also discuss the robustness of this aggregation …

portfolios. We also find that this granular credit risk spills over from affected banks to firms, decreases investment, and …

depend on the investment policy of the firm, we develop a theoretical model, determine the optimal investment policy and … flow multiplier''. The main contribution of the paper, however, is empirical. Using a very extensive data set comprised of … more than 13,000 fims over 44 years we examine the determinants of the cash flow multiplier using as explanatory variables …

Factor supply increases (depresses) output for many of the same reasons that the government spending multiplier might …" and suggest that the government spending multiplier is less than one, even during the recession …

We argue that the government-spending multiplier can be much larger than one when the zero lower bound on the nominal … larger is the value of the multiplier. After providing intuition for these results, we investigate the size of the multiplier … in a dynamic, stochastic, general equilibrium model. In this model the multiplier effect is substantially larger than one …