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This paper explores how a principal with time-inconsistent preferences invests optimally in technology or capital. If the current principal prefers her future self to save more, she can increase current investments complementary to future savings and decrease investments in the strategic...
Persistent link: https://www.econbiz.de/10010223357
The investment-intensive growth model of the People's Republic of China (PRC) is often viewed as state-driven and … ultimately unsustainable. But largely unnoticed, a shift has taken place. This paper examines the changes in investment patterns … economy-wide data with various breakdown. Significant shifts in investment patterns across sectors and ownership forms have …
Persistent link: https://www.econbiz.de/10011657882
business investment. To promote economic convergence of Eastern and Western Germany after reunification, bonus depreciation tax … control group, we address the question if and to what extent these investment tax incentives boosted investment. In line with … were cut back in 1997. Moreover, there was a significant reduction in building investment in the year after the expiration …
Persistent link: https://www.econbiz.de/10010354738
The industrialization process of a country is often plagued by a failure to coordinate investment decisions. Using the …
Persistent link: https://www.econbiz.de/10003301107
Persistent link: https://www.econbiz.de/10003364834
As an incentive to increase high-impact investment and boost growth, the German Federal Government is planning to … end after two years, there is a risk that business investment could tail off at a crucial time, when post-COVID-19 …
Persistent link: https://www.econbiz.de/10013285588
incomes in the east have now reached the western level, and investment per capita has been much higher than in the w est …. However, every third deutschmark spent in the east has been coming from the west, investment in equipment has fallen below the … west Germany. Excessively high wages coupled with investment incentives that made the cost of capital negative rank high …
Persistent link: https://www.econbiz.de/10009781521
support firms, in particular investment subsidies and tax allowances, on firm size and underground production. Among the main … overall. -- formal and informal sectors ; capital investment ; tax exemptions …
Persistent link: https://www.econbiz.de/10009011963
it driven by investment and capital accumulation. By 2014, gross capital formation had reached 46 percent of aggregate … expenditures. This paper documents the role of investment in driving economic growth in China, questions how much longer China can … sustain a relatively high investment rate, and examines the arguments that have been offered for an impending drastic …
Persistent link: https://www.econbiz.de/10011659322
Is investment constrained more by insecure property rights or by limited external finance? For five transition … startup ma nufacturing firms. Access to credit does not appear to explain differences in investment. At least in the early …
Persistent link: https://www.econbiz.de/10009781707