We develop a model of investment with financial constraints and use it to investigate the relation between investment … between q and investment, relative to the frictionless benchmark. We present a calibrated version of the model, which, due to … this effect, generates realistic correlations between investment, q, and cash flow. -- Financial constraints ; investment …

material to the economy's investment prospects and whether the importance of this channel differs depending on the structure of … corporate financing i.e., bank-based or market-oriented financing structures. Based on a dynamic business investment error … financial position of non-financial corporations has a statistically significant impact on aggregate business investment growth …

the low carbon-emitting sector, and (ii) reduce real investment and the capital stock in the highly carbon-emitting sector …, while real investment in the sector with low carbon emissions tends to fare better. To apply the theoretical predictions to … low carbon emissions, and (ii) substantial investment reallocation takes place, in particular from the manufacturing …

financial crisis and especially so during the recovery phase. This resulted in a persistent and growing investment gap between …

The interest rate is generally considered as an important driver of macroeconomic investment. As an innovation, this … paper derives the exact shape of the "hysteretic" impact of changes in the interest rate on macroeconomic investment under … capital stock and, explicitly, of stochastic changes on the interest rate-investment hysteresis. Starting with hysteresis …

During the U.S. Great Recession, investment declined more among firms whose indebtedness increased. Instead of investing …

We use new firm-level estimates of the cost of capital and uncertainty to study the drivers of UK business investment … in a neoclassical investment model. We construct firm-specific measures of the cost of capital and uncertainty and use … new UK survey data to estimate firm-specific investment hurdle rates. There is substantial variation in the cost of …

To understand and appreciate the crucial role privates' investment plays in developing economies towards it sustainable …' Investment in developing countries, however narrowed the study on the economy of Ghana for the hypothetical test. For this very … reason, the study sought to establish an empirical evidence between corporate tax and it impacts on private investment using …

their investment more after the crisis. This negative effect is stronger for firms linked to weak banks with exposures to … corporate investment …

This paper evaluates the impact of the taxation system on factor costs, investment and economic activity. This is … identifies the link between user cost and investment in the context of a full econometric model of investment demand determinants … taxation to investment and economic activity, and assesses the impact of future tax reform proposals …