| Article ID | Journal | Published Year | Pages | File Type |
|---|---|---|---|---|
| 966968 | Journal of Monetary Economics | 2012 | 11 Pages |
Abstract
âºUsing Compustat data, we show that lagged investment is a better predictor of current investment than Q and cash flow combined. âºWe show that the new adjustment formulation proposed by Christiano, Eichenbaum and Evans (CEE) implies a lagged investment effect. âºA generalization of the CEE model provides a good description of the patterns of volatility, persistence and comovement present in firm-level data.
Related Topics
Social Sciences and Humanities
Economics, Econometrics and Finance
Economics and Econometrics
Authors
Janice Eberly, Sergio Rebelo, Nicolas Vincent,