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The role of inventory management in Canadian economic fluctuations

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Abstract

Swings in inventory investment have traditionally played a major role in Canadian business cycles. However, advances in inventory-control techniques and the reduced uncertainty associated with lower inflation have enabled firms to manage their inventories much more tightly and effectively. This article examines recent developments in the management of non-farm business inventories in Canada at both the aggregate and the sectoral level and looks at implications for the role of inventories as a source of economic fluctuation.

Suggested Citation

  • Hung-Hay Lau, 1996. "The role of inventory management in Canadian economic fluctuations," Bank of Canada Review, Bank of Canada, vol. 1996(Spring), pages 31-44.
  • Handle: RePEc:bca:bcarev:v:1996:y:1996:i:spring96:p:31-44
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    Cited by:

    1. Marwan Chacra & Maral Kichian, 2004. "A Forecasting Model for Inventory Investments in Canada," Staff Working Papers 04-39, Bank of Canada.

    More about this item

    JEL classification:

    • E22 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Investment; Capital; Intangible Capital; Capacity
    • E32 - Macroeconomics and Monetary Economics - - Prices, Business Fluctuations, and Cycles - - - Business Fluctuations; Cycles

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