inventory investment

"Typically, increases in inventory investment lead to higher credit demands."

Also, housing will not contribute to economic growth, and inventory investment numbers show little contribution."

Intended inventory investment remains negative until the target level of inventories is reached.

And inventory investment, which has undergone a dramatic liquidation since 1984, is also rising.

Businesses also increased their inventory investment substantially, suggesting they are more optimistic about future sales.

If customers buy less than expected, inventories unexpectedly build up and unintended inventory investment turns out to have been positive.

Following a brief look at inventory investment, the chapter concludes by assessing the role of investment in economic growth.

But inventory investment, which was quite rapid late last year and early this year, appears to have slowed, perhaps appreciably.

The difference between goods produced (production) and goods sold (sales) in a given year is called inventory investment.

The limited available information on inventory investment suggests that stock building dropped markedly from its unsustainable pace of the first quarter.

The slowdown in inventory investment mostly reflected a drop in new-car production.

Inventory investment subtracted 1.1 percentage point from real GDP growth.

Inventory investment is a component of gross domestic product (GDP).

Economists view this positive intended inventory investment as a form of spending-in effect, the firm is buying inventories from itself.

In order to build inventories up to an appropriate level, firms engage in positive intended inventory investment.

The flow of inventory investment is the time derivative of the stock of inventories.

Inventory investment contributed 1.4 percentage points to GDP growth, slightly less than the average in the last four quarters.

However, both the upward impetus from the swing in inventory investment and the growth in final demand appear to have moderated.

Positive or negative unintended inventory investment occurs when customers buy a different amount of the firm's product than the firm expected during a particular time period.

If these are indeed equal for a particular time period, there is no unintended inventory investment and there is goods market equilibrium.

So we dramatically reduced our infrastructure and warehouse and inventory investment, and all of a sudden, it made sense."

Fixed and inventory investment together made up almost 13% of TFE in 1991.

If they are not equal there is disequilibrium in the goods market, reflected in the presence of positive or negative unintended inventory investment.

This chapter concentrates on the latter two, i.e. fixed capital investment and inventory investment.

This may come as a surprise to producers, who initially experience negative inventory investment as their sales have unexpectedly exceeded their production.