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Inventories and the business cycle: an overview

  • Terry J. Fitzgerald

A review of research on the relationship between inventory investment and business cycle fluctuations, focusing on the developments of the last 15 years. A central issue in the literature, the relative importance of demand and supply shocks as sources of fluctuations, continues to be debated.

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Article provided by Federal Reserve Bank of Cleveland in its journal Economic Review.

Volume (Year): (1997)
Issue (Month): Q III ()
Pages: 11-22

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Handle: RePEc:fip:fedcer:y:1997:i:qiii:p:11-22
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  1. Caballero, Ricardo J & Engel, Eduardo M R A, 1991. "Dynamic (S, s) Economies," Econometrica, Econometric Society, vol. 59(6), pages 1659-86, November.
  2. Alan S. Blinder, 1981. "Retail Inventory Behavior and Business Fluctuations," Brookings Papers on Economic Activity, Economic Studies Program, The Brookings Institution, vol. 12(2), pages 443-520.
  3. Bental, B. & Eden, B., 1992. "Inventories in a Competitive Environment," Working Papers 92-19, University of Iowa, Department of Economics.
  4. Mark Bils & James Kahn, 1998. "What inventory behavior tells us about business cycles," Research Paper 9817, Federal Reserve Bank of New York.
  5. Olivier J. Blanchard, 1982. "The Production and Inventory Behavior of the American Automobile Industry," NBER Working Papers 0891, National Bureau of Economic Research, Inc.
  6. Moses Abramovitz, 1950. "Inventories and Business Cycles, with Special Reference to Manufacturer's Inventories," NBER Books, National Bureau of Economic Research, Inc, number abra50-1, December.
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