The paper explores the investment behaviour of German firms in the context of the Q-approach, which plays a dominant … role in empirical investment research. The analysis is based on the Deutsche Bundesbank's corporate balance sheet … by Gilchrist and Himmelberg. We compare the results from two different estimation techniques for dynamic investment …

relationship between investment activity and financial constraints is theoretically ambivalent due to simultaneity, the link … take longer to close capacity gaps. This indicates that financial constraints do indeed play a part in the investment …

The impact of uncertainty on firms' investment outlays is subject to an ongoing debate. Theory identifies several … investment likely. On the other hand, the ability of firms to adapt after uncertainty is resolved can make a risky strategy more …'s investment outlays using the database of the Deutsche Bundesbank's corporate balance sheet statistics. Our database represents …

rate and credit channels on business fixed investment in the German manufacturing sector. Our panel of financial statements … interest rates by 100 basis points would depress investment demand by almost 4% within the first year. Using our direct measure … demand. Furthermore, changes in the rating of firms seem to affect investment demand in a way that is consistent with the …

The interpretation of the significant relation between business investment spending and cash flow has been … controversial. A large body of research has found that investment/cash flow sensitivities are higher for financially constrained … with the Kaplan and Zingales critique, investment/cash flow sensitivities are lower for financially constrained firms. This …

This paper proposes a new framework for studying the effects of monetary policy on business investment. Important … ambiguities with the modeling of investment dynamics and interactions between real and financial decisions suggest modeling … investment spending as a VAR. Based on a panel of financial statement data for 6,408 German firms (44,345 datapoints …

This study is the first empirical analysis to investigate the relationship between the investment behaviour of firms …