Econometrics - Volume 2, Volume 2
The essays in this volume provide a comprehensive view of applications of the cost of capital. The cost of capital is the key concept in the analysis of taxation of business income. It is also critical to the formulation of a new system of national accounts, where it plays the role of the price of capital services. Empirical measurements of productivity and economic welfare generated by these accounts underlie recent innovations in the econometric modeling of consumer and producer behavior.
"This volume provides a wonderful review of the interplay betweeneconomic theory and econometric modeling on many topics in appliedeconomics, including firm investment behavior, consumer behavior,productivity measurement, and national income accounting. Each chaptercaptures both the excitement and the importance of applied economics, andwill make profitable reading for economic researchers at all experiencelevels."
—James Poterba, Mitsui Professor of Economics, MIT