This file is part of IDEAS, which uses RePEc data


[ Papers | Articles | Software | Books | Chapters | Authors | Institutions | JEL Classification | NEP reports | Search | New papers by email | Author registration | Rankings | Volunteers | FAQ | Blog | Help! ]

Information, Investment, and the Stock Market: A Study of Investment Revision Data of Japanese Manufacturing Industries

Author info | Abstract | Publisher info | Download info | Related research | Statistics
Author Info
Kazuo Ogawa
Kazuyuki Suzuki

Additional information is available for the following registered author(s):

Abstract

We examined investment behavior in the Japanese manufacturing industry using investment revision data to analyze investment behavior from a fresh angle. We tested the martingale investment hypothesis and then the q-theory of investment by looking at the response of stock return and investment to news arriving at firms. The martingale hypothesis was generally accepted, and we also found evidence for the validity of the q-theory hypothesis. Investment was responsive to profit rate revision and sales revision, but stock return responded only to profit rate revision. Further investigation revealed that investment was also motivated by expansion of market share for sales, especially for industries with rapid technological progress.

Download Info
To download:

If you experience problems downloading a file, check if you have the proper application to view it first. Information about this may be contained in the File-Format links below. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.

File URL: http://www.iser.osaka-u.ac.jp/library/dp/2007/DP0681.pdf
File Format:
File Function:
Download Restriction: no

Publisher Info
Paper provided by Institute of Social and Economic Research, Osaka University in its series ISER Discussion Paper with number 0681.

Download reference. The following formats are available: HTML (with abstract), plain text (with abstract), BibTeX, RIS (EndNote, RefMan, ProCite), ReDIF
Length:
Date of creation: Jan 2007
Date of revision:
Handle: RePEc:dpr:wpaper:0681

Contact details of provider:
Postal: 6-1 Mihogaoka, Ibaraki, Osaka 567-0047
Fax: 81-6-6878-2766
Email:
Web page: http://www.iser.osaka-u.ac.jp
More information through EDIRC

For technical questions regarding this item, or to correct its listing, contact: (Fumiko Matsumoto).

Related research
Keywords:

Other versions of this item:

References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
  1. Hall, Robert E, 1978. "Stochastic Implications of the Life Cycle-Permanent Income Hypothesis: Theory and Evidence," Journal of Political Economy, University of Chicago Press, vol. 86(6), pages 971-87, December. [Downloadable!] (restricted)
  2. Schiantarelli, F. & Georgoutsos, D., 1990. "Monopolistic competition and the Q theory of investment," European Economic Review, Elsevier, vol. 34(5), pages 1061-1078, July. [Downloadable!] (restricted)
  3. Mark Schankerman, 2002. "Idiosyncratic and Common Shocks to Investment Decisions," Economic Journal, Royal Economic Society, vol. 112(482), pages 766-785, October. [Downloadable!] (restricted)
  4. Owen A. Lamont, 2000. "Investment Plans and Stock Returns," Journal of Finance, American Finance Association, vol. 55(6), pages 2719-2745, December. [Downloadable!] (restricted)
  5. Tobin, James, 1969. "A General Equilibrium Approach to Monetary Theory," Journal of Money, Credit and Banking, Blackwell Publishing, vol. 1(1), pages 15-29, February. [Downloadable!] (restricted)
  6. Blanchard, Olivier & Rhee, Changyong & Summers, Lawrence, 1993. "The Stock Market, Profit, and Investment," The Quarterly Journal of Economics, MIT Press, vol. 108(1), pages 115-36, February. [Downloadable!] (restricted)
    Other versions:
  7. Owen Lamont, . "Investment Plans and Stock Returns."," CRSP working papers 488, Center for Research in Security Prices, Graduate School of Business, University of Chicago.
  8. Ogawa, K. & Kitasaka, S.I., 1995. "Market Valuation and the Q-Theory Investment," Papers 383, Osaka - Institute of Social and Economic Research.
Full references

Statistics
Access and download statistics

Did you know? Authors registered on the RePEc Author Service receive monthly emails with details about downloads and abstract views of their works.

This page was last updated on 2009-11-30.

This information is provided to you by IDEAS at the Department of Economics, College of Liberal Arts and Sciences, University of Connecticut using RePEc data on a server sponsored by the Society for Economic Dynamics.