IDEAS home Printed from https://ideas.repec.org/a/bde/journl/y2024i02n04.html
   My bibliography  Save this article

A disaggregated analysis of business investment since the outbreak of the pandemic

Author

Listed:
  • Miguel Ángel González-Simón

    (Banco de España)

  • Blanca Jiménez-García

    (Banco de España)

  • Carmen Martínez-Carrascal

    (Banco de España)

Abstract

Rationale Business investment in Spain has proven considerably weak in recent years and is still below pre-pandemic levels. This article analyses investment dynamics in Spain until 2022 drawing on firm-level data from the Banco de España Central Balance Sheet Data Office. Takeaways •The disaggregated data from the Central Balance Sheet Data Office can be used to identify the characteristics of the firms that adjusted their investment patterns the most from the outbreak of the pandemic until 2022. •In this period, firms’ investment decisions became more sensitive to their economic situation (proxied here by their sales and cash flow). •Conversely, the link between firms’ investment decisions and financial position (proxied here by their debt level and debt burden) remained unchanged. •Investment by young firms proved particularly weak in the period analysed, and this led to a narrowing of the positive gap between their investment drive and that of other firms.

Suggested Citation

  • Miguel Ángel González-Simón & Blanca Jiménez-García & Carmen Martínez-Carrascal, 2024. "A disaggregated analysis of business investment since the outbreak of the pandemic," Economic Bulletin, Banco de España, issue 2024/Q2.
    • Handle: RePEc:bde:journl:y:2024:i:02:n:04
    DOI: https://doi.org/10.53479/36772
    as

    Download full text from publisher

    File URL: https://www.bde.es/f/webbe/SES/Secciones/Publicaciones/InformesBoletinesRevistas/BoletinEconomico/24/T2/Files/be2402-art04e.pdf
    Download Restriction: no
    File URL: https://libkey.io/https://doi.org/10.53479/36772?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    More about this item

    Keywords

    Business investment; pandemic; economic and financial situation;
    All these keywords.

    JEL classification:

    • E22 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Investment; Capital; Intangible Capital; Capacity
    • E44 - Macroeconomics and Monetary Economics - - Money and Interest Rates - - - Financial Markets and the Macroeconomy
    • H32 - Public Economics - - Fiscal Policies and Behavior of Economic Agents - - - Firm

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:bde:journl:y:2024:i:02:n:04. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Ángel Rodríguez. Electronic Dissemination of Information Unit. Research Department. Banco de España (email available below). General contact details of provider: https://edirc.repec.org/data/bdegves.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.