Investment and uncertainty: precipitating the Great Depression in the United States

Publikation: Bidrag til tidsskrift › Tidsskriftartikel › Forskning › fagfællebedømt

Standard

Investment and uncertainty : precipitating the Great Depression in the United States. / Greasley, David; Madsen, Jakob B.

I: Economica, Bind 73, Nr. 291, 2006, s. 393-412.

Publikation: Bidrag til tidsskrift › Tidsskriftartikel › Forskning › fagfællebedømt

Harvard

Greasley, D & Madsen, JB 2006, 'Investment and uncertainty: precipitating the Great Depression in the United States', Economica, bind 73, nr. 291, s. 393-412. https://doi.org/10.1111/j.1468-0335.2006.00505.x

APA

Greasley, D., & Madsen, J. B. (2006). Investment and uncertainty: precipitating the Great Depression in the United States. Economica, 73(291), 393-412. https://doi.org/10.1111/j.1468-0335.2006.00505.x

Vancouver

Greasley D, Madsen JB. Investment and uncertainty: precipitating the Great Depression in the United States. Economica. 2006;73(291):393-412. https://doi.org/10.1111/j.1468-0335.2006.00505.x

Author

Greasley, David ; Madsen, Jakob B. / Investment and uncertainty : precipitating the Great Depression in the United States. I: Economica. 2006 ; Bind 73, Nr. 291. s. 393-412.

Bibtex

@article{ae4d67f08a8a11dbbee902004c4f4f50,
title = "Investment and uncertainty: precipitating the Great Depression in the United States",
abstract = "A severe collapse of fixed capital formation distinguished the onset of the Great Depression from other investment downturns between the world wars. Using a model estimated for the years 1890-2000, we show that the expected profitability of capital measured by Tobin's q, and the uncertainty surrounding expected profits indicated by share price volatility, were the chief influences on investment levels, and that heightened share price volatility played the dominant role in the crucial investment collapse in 1930. Investment did not simply follow the downward course of income at the onset of the depression: rather, its slump helped to propel the wider collapse",
author = "David Greasley and Madsen, {Jakob B.}",
note = "JEL Classification: E22, G31, N12",
year = "2006",
doi = "10.1111/j.1468-0335.2006.00505.x",
language = "English",
volume = "73",
pages = "393--412",
journal = "Economica",
issn = "0013-0427",
publisher = "Wiley-Blackwell",
number = "291",

}

RIS

TY - JOUR

T1 - Investment and uncertainty

T2 - precipitating the Great Depression in the United States

AU - Greasley, David

AU - Madsen, Jakob B.

N1 - JEL Classification: E22, G31, N12

PY - 2006

Y1 - 2006

N2 - A severe collapse of fixed capital formation distinguished the onset of the Great Depression from other investment downturns between the world wars. Using a model estimated for the years 1890-2000, we show that the expected profitability of capital measured by Tobin's q, and the uncertainty surrounding expected profits indicated by share price volatility, were the chief influences on investment levels, and that heightened share price volatility played the dominant role in the crucial investment collapse in 1930. Investment did not simply follow the downward course of income at the onset of the depression: rather, its slump helped to propel the wider collapse

AB - A severe collapse of fixed capital formation distinguished the onset of the Great Depression from other investment downturns between the world wars. Using a model estimated for the years 1890-2000, we show that the expected profitability of capital measured by Tobin's q, and the uncertainty surrounding expected profits indicated by share price volatility, were the chief influences on investment levels, and that heightened share price volatility played the dominant role in the crucial investment collapse in 1930. Investment did not simply follow the downward course of income at the onset of the depression: rather, its slump helped to propel the wider collapse

U2 - 10.1111/j.1468-0335.2006.00505.x

DO - 10.1111/j.1468-0335.2006.00505.x

M3 - Journal article

VL - 73

SP - 393

EP - 412

JO - Economica

JF - Economica

SN - 0013-0427

IS - 291

ER -

ID: 314034