IDEAS home Printed from https://ideas.repec.org/a/jns/jbstat/v219y1999i3-4p284-297n1004.html
   My bibliography  Save this article

Die Entwicklung der Unternehmensinvestitionen in Deutschland / Firm Investment Behaviour in Germany: Eine Erklärung mit Hilfe der Technik der saisonalen Kointegration / An explanation based on seasonal cointegration techniques

Author

Listed:
  • Dreger Christian

    (Institut für Wirtschaftsforschung Halle, Delitzscher Straße 118, 06108 Halle (Saale), Germany)

  • Brautzsch Hans-Ulrich

    (Institut für Wirtschaftsforschung Halle, Delitzscher Straße 118, 06108 Halle (Saale), Germany)

Abstract

This paper examines the development of investments in equipment and construction in Germany using quarterly non-seasonal adjusted data from 1968 to 1989. The empirical analysis is based on cointegration techniques using the multivariate error correction approach. The model contains firm investments, exports, and the ratio of government debt to GDP. All of the variables are integrated of order 1 at the long run frequency. In addition, seasonal unit roots are detected only in the export and investment series. Given this result, the evidence for cointegration relationships at the seasonal frequencies is rather weak. However, the cointegration vector obtained at the long run frequency shows, that export growth has a positive influence on firm investment. On the other hand, a rise in relative government debt will restrict investment in the long run. Furthermore, we test for weak exogenity to examine the short run properties of the system. As expected, the analysis shows significant movements in all variables in order to re-establish the steady-state. The analysis suggests, that a decrease in government debt will be lead to increasing economic growth in the long run.

Suggested Citation

  • Dreger Christian & Brautzsch Hans-Ulrich, 1999. "Die Entwicklung der Unternehmensinvestitionen in Deutschland / Firm Investment Behaviour in Germany: Eine Erklärung mit Hilfe der Technik der saisonalen Kointegration / An explanation based on seasona," Journal of Economics and Statistics (Jahrbuecher fuer Nationaloekonomie und Statistik), De Gruyter, vol. 219(3-4), pages 284-297.
    • Handle: RePEc:jns:jbstat:v:219:y:1999:i:3-4:p:284-297:n:1004
    DOI: 10.1515/jbnst-1999-3-419
    as

    Download full text from publisher

    File URL: https://doi.org/10.1515/jbnst-1999-3-419
    Download Restriction: no
    File URL: https://libkey.io/10.1515/jbnst-1999-3-419?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
    ---><---

    Other versions of this item:

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Dreger, Christian & Reimers, Hans-Eggert, 2013. "Does euro area membership affect the relation between GDP growth and public debt?," Journal of Macroeconomics, Elsevier, vol. 38(PB), pages 481-486.

    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:jns:jbstat:v:219:y:1999:i:3-4:p:284-297:n:1004. 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: Peter Golla (email available below). General contact details of provider: https://www.degruyter.com .

    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.