E22 - Capital; Investment; Capacity

• Finance Constraints and Inventory Investment: Empirical Tests with Panel Data

  Staff Working Paper 2004-38 Rose Cunningham

  The author empirically tests two aspects of the interaction between financial variables and inventory investment: negative cash flow and finance constraints due to asymmetric information.

  Content Type(s): Staff Research, Staff Working Papers Topic(s): Business fluctuations and cycles, Financial Institutions JEL Code(s): E, E2, E22, G, G1, G14

• Financial Market Imperfection, Overinvestment, and Speculative Precaution

  Staff Working Paper 2004-27 Christian Calmès

  The author uses panel data to assess the sensitivity of investment to cash flow in non-financial firms, taking into account the role their financial health plays in investment decisions.

  Content Type(s): Staff Research, Staff Working Papers Topic(s): Business fluctuations and cycles JEL Code(s): D, D9, D92, E, E2, E22, E4, E44, G, G3, G33

• Implications of Uncertainty about Long-Run Inflation and the Price Level

  Staff Working Paper 2001-16 Gerald Stuber

  This paper surveys recent developments in the theoretical and empirical literature on the economic implications of uncertainty about the longer-term outlook for inflation. In particular, the linkages between inflation, long-run inflation uncertainty, and aggregate economic activity in industrial economies have become considerably better understood during the past decade.

  Content Type(s): Staff Research, Staff Working Papers Topic(s): Inflation: costs and benefits JEL Code(s): E, E2, E22, E3, E31, E4, E44

• Modelling the Behaviour of U.S. Inventories: A Cointegration-Euler Approach

  Staff Working Paper 1997-19 Iris Claus

  Cyclical contractions are often referred to as inventory cycles, in part because movements in inventories can amplify cyclical fluctuations in output. An unanticipated slowing in demand generally leads to an unintended buildup of inventories: only with a lag do firms adjust production and their actual holding of inventories relative to the desired level.

  Content Type(s): Staff Research, Staff Working Papers Topic(s): International topics JEL Code(s): E, E2, E22

• The Investment Supply Response of Traded-Goods Industries

  Technical Report No. 37 Paul Boothe

  In this paper, the author uses neoclassical investment equations to examine investment behaviour in four groups of Canadian industries: export-oriented, import-competing, two- way-trade, and low-trade.

  Content Type(s): Technical Reports Topic(s): Balance of payments and components JEL Code(s): E, E2, E22