Introduction

Abstract

This book is about aggregate physical, fixed asset investment expenditure. Physical fixed asset investment involves accumulating physical capital, including factories, machinery (for example, computers) and buildings (including houses). The aims of Investment: Theories and Analysis are first, to introduce some of the key theories of investment activity, explaining how the theories are related to each other; second, to test these theories empirically using recent data; and third, to apply theories of aggregate investment behavior to some topical macroeconomic issues.