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The accelerator's debt to simultaneity : a demonstration on French data

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  • Adam Bennett

Abstract

[fre] The accelerator's debt to simultaneity : a demonstration on French data. . La version empirique du modèle de l'accélérateur domine presque tous les autres modèles du comportement de l'investissement dans le monde entier. Cette étude met à l'épreuve ce modèle sur la base de données françaises et soutient que la supériorité empirique de ce modèle est spécieuse, résultant en grande partie du biais des équations simultanées. Comme alternative, il est démontré qu'un modèle basé sur le revenu des entreprises retrace les données au moins aussi bien une fois ce biais corrigé. [eng] The accelerator's debt to simultaneity : a demonstration on french data. . The accelerator model of investment in its empirical formulation dominates nearly all other models of investment behaviour throughout the world. This paper examines this model in the context of French data and contends that the empirical superiority is spurious, being largely related to simultaneous equation bias. As an alternative, an income based model is shown to be at least as creditable a description of the data once scope for this bias is removed.

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  • Adam Bennett, 1989. "The accelerator's debt to simultaneity : a demonstration on French data," Revue Économique, Programme National Persée, vol. 40(1), pages 81-88.
    • Handle: RePEc:prs:reveco:reco_0035-2764_1989_num_40_1_409131
    DOI: 10.3406/reco.1989.409131
    Note: DOI:10.3406/reco.1989.409131
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    References listed on IDEAS

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    1. Wu, De-Min, 1973. "Alternative Tests of Independence Between Stochastic Regressors and Disturbances," Econometrica, Econometric Society, vol. 41(4), pages 733-750, July.
    2. Hausman, Jerry, 2015. "Specification tests in econometrics," Applied Econometrics, Russian Presidential Academy of National Economy and Public Administration (RANEPA), vol. 38(2), pages 112-134.
    3. Grayham E. Mizon & David F. Hendry, 1980. "An Empirical Application and Monte Carlo Analysis of Tests of Dynamic Specification," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 47(1), pages 21-45.
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    Cited by:

    1. Giovanni Bonifati, 2014. "Investimenti, consumi e occupazione. Capacità produttiva, domanda effettiva e distribuzione del reddito nel lungo periodo," Department of Economics 0046, University of Modena and Reggio E., Faculty of Economics "Marco Biagi".

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