NATIONAL BUREAU OF ECONOMIC RESEARCH
NATIONAL BUREAU OF ECONOMIC RESEARCH

Aggregate Investment

Ricardo J. Caballero

NBER Working Paper No. 6264
Issued in November 1997
NBER Program(s):   EFG

The 90s have witnessed a revival in economists' interest and hope of explaining" aggregate and microeconomic investment behavior. New theories, better econometric" procedures, and more detailed panel data sets are behind this movement. Much of the progress" has occurred at the level of microeconomic theories and evidence; however aggregation and general equilibrium aspects of the investment problem also has been significant. " The concept of sunk costs is at the center of modern theories. The implications of these costs for" investment go well beyond the neoclassical response to the irreversible-technological friction" they represent, for they can also lead to first order inefficiencies when interacting with" informational and contractual problems.

download in pdf format
   (3086 K)

email paper

This paper is available as PDF (3086 K) or via email.

Machine-readable bibliographic record - MARC, RIS, BibTeX

Document Object Identifier (DOI): 10.3386/w6264

Published: Handbook of Macroeconomics, Taylor, J.B. and M. Woodford, eds., North Holland, 1999.

Users who downloaded this paper also downloaded these:
Campbell w6485 Asset Prices, Consumption, and the Business Cycle
Cooper and Haltiwanger w7925 On the Nature of Capital Adjustment Costs
Eslava, Haltiwanger, Kugler, and Kugler w11656 Factor Adjustments After Deregulation: Panel Evidence from Colombian Plants
Caballero and Engel w6420 Nonlinear Aggregate Investment Dynamics: Theory and Evidence
Gilchrist and Himmelberg Investment: Fundamentals and Finance
 
Publications
Activities
Meetings
Data
People
About

Support
National Bureau of Economic Research, 1050 Massachusetts Ave., Cambridge, MA 02138; 617-868-3900; email: info@nber.org

Contact Us