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Investment, Q and Liquidity / Investitionen, Q und Liquidität: Evidence for Germany Using Firm Level Balance Sheet Data / Empirische Ergebnisse auf Basis von Unternehmensdaten

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  • Behr Andreas

    ()

    (Westfälische Wilhelms-Universität Münster, Institut für Ökonometrie und Wirtschaftsstatistik, Am Stadtgraben 9, D-48143 Münster. Tel.: ++49/+251/8322954, Germany)

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    We analyse the investment behaviour of German firms within the framework of the Q-theory. Because we use anonymous individual firm balance sheet data, no stock market measure of Q is available. The data set contains 1,342 manufacturing firms covering the period 1987 to 1998. Using the approach of Abel&Blanchard and Gilchrist&Himmelberg, a measure of Q is derived through a vector-autoregressive-model to forecast future profits directly.

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    Article provided by De Gruyter in its journal Journal of Economics and Statistics (Jahrbuecher fuer Nationaloekonomie und Statistik).

    Volume (Year): 225 (2005)
    Issue (Month): 1 (February)
    Pages: 2-21

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    Handle: RePEc:jns:jbstat:v:225:y:2005:i:1:p:2-21
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