inventories: materials (input) inventories facilitate the production of finished goods, while finished goods (output) inventories … cyclicality of inventory investment and inventory-to-target ratios. Although inventories are an important element of the model … parameters associated with inventories play a minor role in reducing the volatility of output. …

: in response to news about future increases in TFP, inventories rise and comove positively with other major macroeconomic … when extended to include inventories. To explain the empirical inventory behavior, we therefore develop a framework that …

-logarithmic form and derive an estimable system of Euler equations for inventories and employment with implied cross …

) inventories by adding joint determination of input inventories which largely have been ignored Empirically input inventories are … more important than output inventories especially in business cycle fluctuations Maximum likelihood estimation of the …

-logarithmic form, and derive an estimable system of Euler equations for inventories and employment with implied cross …