On the relationship between expected earnings and investment, see Gennaioli, N., Yueran, M., and A. Shleifer (2015), “Expectations and Investment.” NBER Macroeconomics Annual 2015. 8  See Bacchiocchi, E., E. Borghi and A. Missale (2011), “Public Investment under Fiscal Constraints”. Fiscal Studies 32(1), pp. 11–42.
9  See Kalemli-Özcan, S., Laeven, L., and D. Moreno (2015), “Debt Overhang, Rollover Risk and Investment in Europe“, mimeo. 10  See Blanchard, O., Cerutti, E., and L. Summers (2015), “Inflation and Activity – Two Explorations and their Monetary Policy Implications”, IMF Working Paper No. 15/230.