We examine how different investment horizons, and consequently the number of hands through which a security passes …-horizon investors; (ii) for a given maturity of security, price deviations increase as investment horizons shrink (and frequency of … transfers increases); and (iii) short investment horizons create upward pressure on prices when liquidity is high and downward …

effects whenever the cycle is driven by persistent (but not permanent) investment-specific technology shocks, resulting in …

Low investment rates are a puzzling phenomenon particularly in transition economies with an urgent need for … modernisation. The literature offers two alternative explanations: imperfect capital markets and investment reluctance due to real … real option effects may lead to erroneous conclusions in the context of empirical investment equations …

This paper examines the role of uncertainty and capital market imperfection in influencing firm investment …. Introduction of uncertainty in the investment model allows for limited expandability and limited reversibility of capital over time … group. We identify financially constrained firms in various years by relying on investment-asset sale sensitivity. Using an …

neoclassical growth model. Investment rates and total factor productivity start out low and rise over time. These model dynamics …