investment-specific productivity. We document that in U.S. postwar quarterly data total factor productivity (TFP) and the … relative price of investment are cointegrated. We show theoretically that TFP and the relative price of investment are … cointegrated if and only if neutral and investment-specific productivity share a common stochastic trend. We econometrically …

The positive correlation between PPP investment rates and PPP income levels across countries is one of the most robust … price of investment relative to output across countries. When measured at domestic prices rather than at international … prices, investment rates are little correlated with PPP incomes. We find that the high relative price of investment in poor …

items from different stores. We calibrate our theory and show that it is not only consistent with the extent and sources of …

result, the demand for labour throughout the industrialized world. This generates increases in wages, employment and output …