investment - results that are consistent with the model's predictions. …

We revisit the empirical performance of the Q theory of investment, explicitly taking into account the frequency … dependence of investment, Tobin's Q, and cash flow. The time series are decomposed into orthogonal components of different … frequencies using wavelet multiresolution analysis. We find that the Q theory fits the data much better than might be expected …

The empirical performance of the Q theory of investment can be significantly improved by simultaneously considering the … with the Q theory. The results show that there is a positive, stable medium-to-long-run relationship between investment and … time- and the frequency-varying features of the investment-Q relationship. Using continuous wavelet tools, I assess the …

literature on investment patterns, we assume that the investment decisions by firms are lumpy and constrained by their financial …-economic dynamics. Indeed, we find that investment is more volatile than GDP; consumption is less volatile than GDP; investment …

emerging markets. The paper measures the risk of short-term exposure by estimating, at the firm level, the effect on investment … not find that this reduction in net worth translates into a drop in investment. …

rarely present in investment models. In this paper, I extend the q-theory of investment to model explicitly the decision of … known as intangibles, suggest that their share in overall investment has grown considerably. Still, intangible investment is … movements in the measurement of the contribution of each type of investment to the overall capital stock. In particular, given …

The real options tradition originally predicted a decreasing relationship between uncertainty and investment, through … probability is not the best measure of investment. The sign of the total effect is again ambiguous. This ambiguity is illustrated …

In this paper we study a continuous time, optimal stochastic investment problem under limited resources in a market … with N firms. The investment processes are subject to a time-dependent stochastic constraint. Rather than using a dynamic …

We study the time-varying effects of Tobin's q and cash flow on investment dynamics in the USA using a vector … variation over time of the response of investment to shocks in both variables. The time-varying sensitivity of investment to a … show that, although Tobin's q and cash flow are complementary sources of information for investment decisions, their …