, when in fact the Japanese economy was depressed. This study applies the new theory with intangible investment and non … theory are much closer to the actual data. The improvement of this extension remains robust when tangible investment …

This paper revisits the canonical assumption of nonconvex capital adjustment costs in lumpy investment models as in … aggregate investment, both a sizable mean and a sizable variance are necessary. The mean governs the importance of the extensive … margin in aggregate investment dynamics, while the variance governs how sensitive the extensive margin is to changes in the …

From its publication in The Times in 1933, John Maynard Keynes’s investment multiplier sparked much debate and … controversy. Can an investment generate 3 or 4 times its value in income within one year? To date, no one has questioned the …

outside the U.S. due to a greater decline of intangible investment and a much slower recovery. Tangible capital can be … investment relies on firms’ liquidity holdings that were drawn down in the crisis and can only be rebuilt gradually through … retained profits. We provide a unified account of the findings through a dynamic model of corporate investment and liquidity …

Intangible investment is growing as a share of economic activity. We present a simple framework incorporating its … distinguishing characteristic of generally greater scalability and lower marginal costs than tangible investment. We show evidence … large constituent of intangible investment, may be leading to wage stagnation and greater market concentration …

with frictions in the adjustment of both capital and labor. We posit that hiring of labor is akin to investment in capital ….S. corporate sector data to estimate firms' optimal hiring and investment decisions and the consequences for firms' value. We then … investment and physical capital. We find that a conventional specification - quadratic adjustment costs for capital and no hiring …

economists identify saving and the credit supply by interpreting the macroeconomic saving-investment identity as a budget … supply of credit and thus more funds to be invested by firms for investment. The paper shows that proponents of this theory …

argue that there is much confusion about key macroeconomic concepts like saving, investment and finance. This confusion is … best summarised in the statement "saving finances investment". After clearly defining the accounting relationships between … lending, financial saving and physical investment it will be shown that this is a nonsense statement. The theory behind it …

, having encouraged consumer and investment demand. …