equipment-goods sectors are cointegrated if and only if the aggregate neutral productivity and the investment … common stochastic trend of sectoral productivities in explaining the movements of investment-specific technology as well as … those of interesting macroeconomic aggregates such as output, consumption, investment and hours worked. For this end, I …

We estimate a New-Neoclassical Synthesis model of the business cycle with two investment shocks. The first, an … investment-specific technology shock, affects the transformation of consumption into investment goods and is identified with the … relative price of investment. The second shock affects the production of installed capital from investment goods or, more …