The rate of capital formation by businesses has long been among the most closely watched elements of the national … accounts. During the last decade, this component of investment attracted considerable interest as capital spending helped … that recent shifts in the composition of the stock of capital goods and in the relative prices of capital goods have …

considers the extent to which changes in the cost of capital can account for these shifts. A number of developments occurred in … the 1980s that affected the cost of capital more for some industries and assets than others. It is well known, for example … allocation of investment. The article concludes that the changes are due in large part to movements in real capital goods prices …

capital throughout the region. ; Having just lost a significant proportion of their capital, many banks tried to satisfy their … capital/asset ratio requirements by shrinking their institutions. This article discusses why banks facing binding capital … constraints will shrink more than unconstrained banks when an adverse capital shock occurs. It shows that New England banks with …

and equity capital. …