We could get a reversal of the process with firms trying to disinvest since their capital stock is too large. We can thus generate a business cycle. An alternative approach is based on the notion of a propensity of firma#39;s to invest. The idea is that anbsp;...
|Title||:||Macroeconomics and Monetary theory|
|Author||:||Harry Gordon Johnson|
|Publisher||:||Transaction Publishers - 1971|