Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/67878
Authors: 
Belhocine, Nazim
Year of Publication: 
2008
Series/Report no.: 
Queen's Economics Department Working Paper 1216
Abstract: 
This paper measures the size of the stock of intangible capital in Canada using newly released data on the market value of all securities in the economy. The approach taken relies on a quantitative application of the q-theory of investment to generate the quantity of capital owned by firms. I find that the intangible capital stock accounted for approximately 30% of overall capital since 1994. Of this, the R&D reported by national accounts makes up only 23%. These results imply that official Canadian statistics failed to account for 26% of the value of the capital stock in their 2005 quarterly data collection. In addition, I find that the magnitude of the intangible capital stock is comparable to that reported using a cost approach, confirming the size of the findings and ascertaining the need to include intangibles in empirical models and in investment data.
Subjects: 
Q-Theory
Unrecorded Capital
Intangible Capital
JEL: 
E22
E44
G12
G31
O16
Document Type: 
Working Paper

Files in This Item:
File
Size
482.65 kB





Items in EconStor are protected by copyright, with all rights reserved, unless otherwise indicated.