PLANNED AND ACTUAL INVESTMENT IN AUSTRALIAN MANUFACTURING.

This paper makes use of a half-yearly series for planned and actual new capital expenditures in the Australian manufacturing sector to examine two investment relationships. Section I of the paper tests a modified form of the acceleration principle in which unfulfilled investment plans of the previous period enter as an explanatory variable. Section II examines reasons for the non-fulfilment of plans, introducing a new hypothesis involving capacity constraints. [ABSTRACT FROM AUTHOR]