This paper studies how managers plan under uncertainty. In a new survey panel on German manufacturing firms, we show that uncertainty reflects change: Planning incorporates higher subjective uncertainty about future sales growth when the firm has just experienced unusual growth, and more so if...

Are fluctuations in firms' profitability risk a major cause of regular business cycles? We study this question within the framework of a heterogeneous-firm dynamic stochastic general equilibrium model with fixed capital adjustment costs. In such a model, surprise increases of risk lead to a...

This study uses data from the Arab Middle East, namely, the United Arab Emirates (UAE), to examine whether slack and planning (comprehensiveness of strategic decision making and extensiveness of strategic planning), which are of special importance at the moment in this recently established...