We study the implications of a stockout constraint in a dynamic general equilibrium model, which can explain both RBC and inventory facts well. Under the stockout constraint, inventories and demand are complements in generating sales, and hence the optimal level of inventories increases in...

The lack of internationally comparable capital stock data has been a major obstacle to empirical studies of the contribution of the capital stock to economic growth. In this paper, we provide estimations of aggregate capital stocks for 103 countries in 2010. Depending on data availability the...