In Kaleckian models of distribution and growth the equilibrium rate of capacity utilisation may persistently diverge from the "normal rate" of utilisation. We assess this problem following the approach by Dumenil/Levy (1999) who consider the "normal rate" of utilisation in a monetary production...

Using firm-level survey data from Germany, this paper asks how do supply constraints propagate monetary policy shocks? To answer this question, we first offer a general discussion on the measurement of supply constraints. We show that capacity utilization, a widely accepted measure of...

Using unique firm-level survey data from Germany, this paper investigates two measures of supply constraints: a new direct measure that indicates material shortages and capacity utilization, a widely accepted measure of bottlenecks and slack. We document substantial heterogeneity in supply...

Using unique firm-level survey data from Germany, this paper investigates two measures of supply constraints: a new direct measure that indicates material shortages and capacity utilization, a widely accepted measure of bottlenecks and slack. We document substantial heterogeneity in supply...