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Integrating Tobin's Q with Goodwin's Nonlinear Accelerator

Abstract
This paper derives an optimal investment function that combines Tobin's q with Goodwin's nonlinear accelerator. It provides microfoundations to the backward looking behaviour of investment in Goodwin's model, and simultaneously allows the study of Tobin's q into a business cycle model.. investment, business cycles; tobin's q

Publication details
Download http://www.business.uts.edu.au/finance/research/wpapers/wp104.pdf
Repository RePEc (Germany)
Type preprint