Earnings forecasts, Traditional Stationarity Assumption, Time-series, EPS

Journal Article Existence and Optimality of Equilibrium in Labour-managed Economies Get access Joseph Greenberg Joseph Greenberg Virginia Polytechnic Institute and State University Search for other works by this author on: Oxford Academic Google Scholar The Review of Economic Studies, Volume 46, Issue 3, July 1979, Pages 419–433, https://doi.org/10.2307/2297011 Published: 01 July 1979 Article history Received: 01 November 1975 Accepted: 01 July 1978 Published: 01 July 1979

Introduction, 513.—The model, 513.—The main theorem, 514.

[This article presents the first and second moments of an estimator which might be used when two subsamples are characterized by the same regression coefficients, but possibly different error variances. The estimator is the OLS estimator if the hypothesis of equal variances is accepted and the two-step Aitken estimator otherwise. The estimator is similar to one suggested by Goldfeld and Quandt and is applicable to a reparameterized version of the error components model.]

[Consider a society with n individuals who must choose an alternative from a given non-empty set X. For an integer d ≤ n, a d-majority equilibrium is an alternative x* ∈ X such that no alternative in X is preferred to x* by at least d individuals. It is proved that when X is a compact and convex set of dimension m, a necessary and sufficient condition that, for every profile of individuals' convex and continuous preferences, there exists a d-majority equilibrium, is that d be greater than (m/(m + 1))n. Using this result for the case when X consists of a finite number, T, of alternatives, it is shown that a necessary and sufficient condition that for every individuals' preference orderings there exists a d-majority equilibrium is that d exceeds ((T - 1)/T)n.]

Firms' investment in plant and equipment is explained by a stock-adjustment model in which the coefficient of adjustment is allowed to vary. It is assumed that firms partially close the gap between desired and actual capital stock, but that the speed of adjustment depends on the firm's ability to procure funds at reasonable cost. A panel of individual firm responses to the McGraw-Hill plant and equipment survey is the principal data source, supplemented by financial statement information for the firms and two indices representing costs of debt and equity financing. The predictions generated by the regressions are aggregated for comparison with the observed aggregates. 1. A STOCK-ADJUSTMENT INVESTMENT MODEL THE PURPOSE of this paper is to develop and test a model to explain firms' investment in plant and equipment. The model incorporates features which recent research on the investment decision suggests are significant. The basic framework is a stock-adjustment model, in which each year the firm moves partially toward its desired position, with the coefficient of adjustment (reaction coefficient) allowed to vary by firm and year. The model has the form

T HE main purpose of this paper is to investigate the relationships between the state distribution of military prime contract awards for experimental and developmental, tests, and research work (hereafter EDTR) and the state distribution of total military prime contract awards. It has been argued that the acquisition of research contracts in a particular state is desirable because such contracts lead to large procurement awards in the future, and these awards are important for the state's economic growth. Consider, for example, the remark of Senator Hubert H. Humphrey: