Conditional volatility and the production smoothing hypothesis of inventory investment
Article Abstract:
A modification of the production smoothing hypothesis on inventory investment comes in the form of a conditional second moment method that gives importance to the part that sales anticipation and volatility play. The MGARCH technique is used in the modified model. It is also observed that another type of production smoothing behavior, which is the buffer stock motive, works in the face of sales changes that firms are unable to anticipate.
Publication Name: International Journal of Production Economics
Subject: Engineering and manufacturing industries
ISSN: 0925-5273
Year: 1996
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Temporal aggregation and estimation of inventory functions
Article Abstract:
Analysis of the impact of temporal aggregation on inventory decisions such as adjustment policies shows that there exists a significant degree of correlation between the two variables compared. Using real as opposed to hypothetical data proves the above observation. Furthermore, the effect of aggregation has been observed to be negative, that is, it has a downward influence on adjustment speed.
Publication Name: International Journal of Production Economics
Subject: Engineering and manufacturing industries
ISSN: 0925-5273
Year: 1996
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Macroeconomic implications of S,s versus accelerator finished goods inventory strategies
Article Abstract:
A comparative analysis of the S,s finished goods inventory behavior and the more conventional accelerator type inventory management shows that the latter results in a more robust economy. This conclusion has been derived through the use of disaggregated simulation methods on data that consisted of 315 firms in 21 industries with an aggregate inventory numbering 6,615 stockpiles.
Publication Name: International Journal of Production Economics
Subject: Engineering and manufacturing industries
ISSN: 0925-5273
Year: 1996
User Contributions:
Comment about this article or add new information about this topic:
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