with frictions in the adjustment of both capital and labor. We posit that hiring of labor is akin to investment in capital ….S. corporate sector data to estimate firms' optimal hiring and investment decisions and the consequences for firms' value. We then … investment and physical capital. We find that a conventional specification - quadratic adjustment costs for capital and no hiring …

entails changes in real corporate actions. We document a positive relation between abnormal trading volume, future investment … expenditures, and fi nancing cash flows. This positive relation is not subsumed by the arrival of investment-related news or other …

investment - results that are consistent with the model's predictions. …

spending - combined with investment theory - to estimate the discount rates used by managers. The standard story predicts that … firms in making their investment decisions. We use a revealed preference approach that relies on the pattern of investment … firms with high stock prices and good investment opportunities should have discount rates that do not differ systematically …

investment - results that are consistent with the model's predictions. -- investment ; stock market ; bubble ; dispersion …