Time-to-Build and Aggregate Fluctuations: Some New Evidence
Sumru Altug
International Economic Review, 1989, vol. 30, issue 4, 889-920
Abstract:
This paper presents maximum likelihood estimates and tests of a model similar to one Kydland and Prescott (1982) suggested. For this purpose, it derives equilibrium laws of motion for a set of aggregate variables as functions of the model's parameters and the innovation to the technology shock. The paper shows that a single unobservable index can explain the variability in the observed series, but identifying the single index with the innovation to the technology shock implies that per capita hours is not well explained. It also shows that time-separable preferences with respect to leisure are consistent with the data. Copyright 1989 by Economics Department of the University of Pennsylvania and the Osaka University Institute of Social and Economic Research Association.
Date: 1989
References: Add references at CitEc
Citations: View citations in EconPapers (186)
Downloads: (external link)
http://links.jstor.org/sici?sici=0020-6598%2819891 ... O%3B2-7&origin=repec full text (application/pdf)
Access to full text is restricted to JSTOR subscribers. See http://www.jstor.org for details.
Related works:
Working Paper: Time to build and aggregate fluctuations: some new evidence (1986) 
This item may be available elsewhere in EconPapers: Search for items with the same title.
Export reference: BibTeX
RIS (EndNote, ProCite, RefMan)
HTML/Text
Persistent link: https://EconPapers.repec.org/RePEc:ier:iecrev:v:30:y:1989:i:4:p:889-920
Ordering information: This journal article can be ordered from
http://www.blackwell ... bs.asp?ref=0020-6598
Access Statistics for this article
International Economic Review is currently edited by Harold L. Cole
More articles in International Economic Review from Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association 160 McNeil Building, 3718 Locust Walk, Philadelphia, PA 19104-6297. Contact information at EDIRC.
Bibliographic data for series maintained by Wiley-Blackwell Digital Licensing () and ().