shock. Our estimated model uncovers a central role for investment in the transmission mechanism of monetary policy, as high … MPCs amplify the investment response in the data. This force also generates a procyclical response of consumption to … investment shocks, leading our model to infer a central role for these shocks as a source of business cycles …

We use disaggregated data on the components of private fixed investment (PFI) to estimate industry-level responses of … real investment and capital prices to unanticipated monetary policy. The response functions derive from a restricted large …-scale VAR estimated over 1959-2007. Our results point to significant cross-sector heterogeneity in the behavior of PFI prices …

We provide new evidence on how monetary policy affects investment and firm finance in the United States and the United … conditioning on size, asset growth, Tobin's Q, leverage or liquidity – and drive the response of aggregate investment. Older … and financial frictions in amplifying the effects of monetary policy on investment …

their investment more after the crisis. This negative effect is stronger for firms linked to weak banks with exposures to … corporate investment …

Investment fell sharply in the euro area after the financial crisis and has not yet returned to pre-crisis levels in … investment dynamics. By doing so, we compare five prominent uncertainty proxies put forward in the recent literature: the … type of uncertainty proxy, we document pronounced negative investment responses to uncertainty shocks. We further show that …

We report laboratory experiments investigating the cyclicality of profit-enhancing investment in a competitive … environment. In our setting, optimal investment is counter-cyclical when investment costs fall following market downturns. However …, we do not observe counter-cyclical investment. Instead we see much less strategic behavior than our rational investment …

financial crisis and especially so during the recovery phase. This resulted in a persistent and growing investment gap between …

the macroeconomics of saving-investment imbalances …

This paper explores the importance of investment-specific technology changes in anticipated TFP fluctuations. To this … shocks to the relative price of investment. We show in a model with IST diffusion and spillover that the correlation of these …