05461oam 22013334 450 991097335100332120250426110840.09786613821966978146236897614623689729781452735009145273500X9781282541252128254125097814527033981452703396(CKB)3360000000443234(EBL)3014519(SSID)ssj0000940136(PQKBManifestationID)11967010(PQKBTitleCode)TC0000940136(PQKBWorkID)10956252(PQKB)10387085(OCoLC)694141218(MiAaPQ)EBC3014519(IMF)WPIEE2006152(IMF)WPIEA2006152WPIEA2006152(EXLCZ)99336000000044323420020129d2006 uf 0engurcn|||||||||txtccrDomestic Investment and the Cost of Capital in the Caribbean /Shaun Roache1st ed.Washington, D.C. :International Monetary Fund,2006.1 online resource (46 p.)IMF Working Papers"June 2006."9781451864120 1451864124 Includes bibliographical references.""Contents""; ""I. INTRODUCTION""; ""II. TRENDS IN REGIONAL INVESTMENT 6""; ""III. LITERATURE REVIEW""; ""IV. A BASIC INVESTMENT MODEL""; ""V. DATA""; ""VI. ESTIMATION ISSUES""; ""VII. ESTIMATION RESULTS""; ""VIII. CONCLUSIONS""; ""References""; ""Data Sources and Estimates ""Investment-to-GDP ratios across the Caribbean tend to be relatively high. In many countries, these ratios have been trending higher since the mid-1990s, largely reflecting public investment and foreign direct investment. Private domestic investors have been less prominent. This may be one reason why such high investment has delivered Caribbean growth rates below the middle-income average. This paper seeks to understand how higher private investment may be encouraged. Using new data, it concludes that: the multiplier effects of public investment and FDI on private domestic investment are weak; and private domestic investment (PDI) is sensitive to the cost of capital. Public policy designed to raise PDI should focus on creating conditions for a lower cost of capital. The focus should be on removing barriers to lower real interest rates, rather than the further extension of costly tax concessions.IMF Working Papers; Working Paper ;No. 2006/152InvestmentsCaribbean AreaCapital costsCaribbean AreaBanks and BankingimfCapacityimfCapitalimfFinanceimfFinancial InstrumentsimfInstitutional InvestorsimfIntangible CapitalimfInterest ratesimfInterest Rates: Determination, Term Structure, and EffectsimfInvestment & securitiesimfInvestmentimfInvestments: GeneralimfInvestments: StocksimfMacroeconomicsimfNational Government Expenditures and Related Policies: InfrastructuresimfNon-bank Financial InstitutionsimfOther Public Investment and Capital StockimfPension FundsimfPrivate investmentimfPublic finance & taxationimfPublic FinanceimfPublic investment and public-private partnerships (PPP)imfPublic investment spendingimfPublic investmentsimfPublic-private sector cooperationimfReal interest ratesimfSaving and investmentimfStocksimfTrinidad and TobagoimfInvestmentsCapital costsBanks and BankingCapacityCapitalFinanceFinancial InstrumentsInstitutional InvestorsIntangible CapitalInterest ratesInterest Rates: Determination, Term Structure, and EffectsInvestment & securitiesInvestmentInvestments: GeneralInvestments: StocksMacroeconomicsNational Government Expenditures and Related Policies: InfrastructuresNon-bank Financial InstitutionsOther Public Investment and Capital StockPension FundsPrivate investmentPublic finance & taxationPublic FinancePublic investment and public-private partnerships (PPP)Public investment spendingPublic investmentsPublic-private sector cooperationReal interest ratesSaving and investmentStocksRoache Shaun1815930DcWaIMFBOOK9910973351003321Domestic Investment and the Cost of Capital in the Caribbean4371555UNINA