Depreciation Rates and Capital Stocks

  1. Karim Abadir,
  2. Gabriel Talmain

Article first published online: 9 OCT 2008

DOI: 10.1111/1467-9957.00234

Issue

The Manchester School

The Manchester School

Volume 69, Issue 1, pages 42–51, January 2001

Additional Information

How to Cite

Abadir, K. and Talmain, G. (2001), Depreciation Rates and Capital Stocks. The Manchester School, 69: 42–51. doi: 10.1111/1467-9957.00234

Author Information

  1. University of York

Publication History

  1. Issue published online: 9 OCT 2008
  2. Article first published online: 9 OCT 2008

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Suppose we have observations ranging over t=0,1,...,T on real net investment inline image and on real gross investment inline image. We derive a method of calculating the depreciation rate for each of the periods inline image and of estimating ‘the’ implied net capital stock inline image. We then provide empirical examples of the procedure and analyse the results.

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