Section [ ]. Applying the theory to historical episodes
[DETAILED DISCUSSION TO BE ADDED]
Summing up what needs to be established in order to plausibly apply ABCT
to a historical business cycle episode, the empirical work should
involve the following:
Finding evidence of credit expansion, in particular the growth in
investment credit.
Identifying the concentrated substantial investment increases, and if
possible the sectors in the economy where they happen.
Identifying the contested goods.
If possible, providing evidence of the problems with the repayment of
the loans or other types of financing related to the alleged
excessively long projects.