New Study Reveals Quarterly Capital Input Impact on Economic Output
The article discusses how quarterly data on capital input and the cost of capital are important for understanding economic dynamics within a year. The researchers created quarterly measures of capital stock, capital input, and cost of capital from 1948 to 1993. They combined different categories of capital assets and used a specific method to calculate aggregate capital input. The study found that the cost of capital can be determined by dividing the revenue of capital by the aggregate capital input.