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The influence of inventories on output and prices: A stage of fabrication approach

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  • Bivin, David

Abstract

This paper estimates models of output, price and total inventory in various manufacturing sectors that allow inventories at different stages of fabrication to exert independent influences. The hypothesis tests generally reject the hypotheses that inventories are irrelevant or can be aggregated across stages of fabrication in the output and price models. The hypothesis that raw materials and work-in-process are irrelevant is rejected in about half of the output and price model. In two-thirds of the industries, inventory behavior is independent of the composition of stocks inherited from the previous period.

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Bibliographic Info

Article provided by Elsevier in its journal Journal of Macroeconomics.

Volume (Year): 15 (1993)
Issue (Month): 4 ()
Pages: 627-651

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Handle: RePEc:eee:jmacro:v:15:y:1993:i:4:p:627-651

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Web page: http://www.elsevier.com/locate/inca/622617

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Cited by:
  1. Brad R Humphreys & Louis J Maccini & Scott Schuh, 1997. "Input and Output Inventories," Economics Working Paper Archive 391, The Johns Hopkins University,Department of Economics.
  2. Humphreys, Brad R., 2001. "The behavior of manufacturers inventories: Evidence from US industry level data," International Journal of Production Economics, Elsevier, Elsevier, vol. 71(1-3), pages 9-20, May.
  3. Matteo Iacoviello & Fabio Schiantarelli & Scott Schuh, 2007. "Input and Output Inventories in General Equilibrium," Boston College Working Papers in Economics 658, Boston College Department of Economics, revised 23 Oct 2009.

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