TY - JOUR
T1 - The inventory investment equation
T2 - an empirical work using business survey data
AU - Modesto, Leonor
N1 - Copyright:
Copyright 2014 Elsevier B.V., All rights reserved.
PY - 1992/2
Y1 - 1992/2
N2 - The most widely used model in empirical work on inventory investment has been the one that combines the accelerator motive with a target adjustment mechanism. However, the rationale for this type of relations remains normally quite vague. In this paper a small theoretical model of inventory investment, developed with solid micro-economic foundations, is presented and estimated using Portuguese and Belgian business survey data. The model can help explaining some concepts that are frequently confused in empirical work and can also rationalize some of the most popular beliefs about inventory behaviour.
AB - The most widely used model in empirical work on inventory investment has been the one that combines the accelerator motive with a target adjustment mechanism. However, the rationale for this type of relations remains normally quite vague. In this paper a small theoretical model of inventory investment, developed with solid micro-economic foundations, is presented and estimated using Portuguese and Belgian business survey data. The model can help explaining some concepts that are frequently confused in empirical work and can also rationalize some of the most popular beliefs about inventory behaviour.
UR - http://www.scopus.com/inward/record.url?scp=0026819152&partnerID=8YFLogxK
U2 - 10.1016/0925-5273(92)90049-D
DO - 10.1016/0925-5273(92)90049-D
M3 - Article
AN - SCOPUS:0026819152
SN - 0925-5273
VL - 26
SP - 79
EP - 88
JO - International Journal of Production Economics
JF - International Journal of Production Economics
IS - 1-3
ER -