Work

Why) Is investment weak

Year: 2015

Type: article

Abstract: In spite of very easy financing conditions globally, investment has been rather weak in the aftermath of the Great Recession. What explains this apparent disconnect? The evidence suggests that, historically, uncertainty about the future state of the economy and expected profits play a key role in driving investment, and financing conditions less so. As a result, investment after the Great Recession appears to have been broadly in line with what could have been expected based on past relationships. A stronger recovery of investment would seem to depend on a reduction in economic uncertainty and expectations of stronger future growth.

Source: RePEc: Research Papers in Economics

Authors: Ryan Banerjee, Jonathan Kearns, Marco Lombardi

Institution: Bank for International Settlements

Language: German

Topic: Monetary Policy and Economic Impact

Subfield: General Economics, Econometrics and Finance

Field: Economics, Econometrics and Finance

Domain: Social Sciences

SDG: Decent work and economic growth

Open Access status: green

OpenAlex ID: W229701288

FWCI: 8.619

Cites: 10

Cited by: 22

Related to: 10