down the production of the car. This prevents the market from meeting demand, which leads to less revenue. Raw materials purchased from domestic manufacturers or dealers may lag by a few months. For example, to make fabric, many types of raw material—such as cotton, nylon, wool, and polyester—are required. If domestic manufacturers or dealers are unable to produce the raw material on time, the market will suffer because it cannot meet demand. Raw materials purchased from distant sources or on long-term contracts may also arrive late. When domestic manufacturers and dealers cannot produce enough, a nation has to reach out to other nations, which takes much longer. This can also cause the market to lack products consumers want. Finished goods made to order are closely tied to output. Even if raw materials are received on time and goods are produced on time, the inventory may not be enough to meet demand. Producing more requires starting from scratch. Meanwhile, the market does not have any goods to sell. Aggregate inventories of wholesalers and retailers also appear to have lagged behind sales by about six months. Detailed studies reveal that this lag reflects large differences in the ability of merchants in different trades to keep the rate at which they receive goods in line with the rate at which they can dispose of them. Some merchants' ability to adjust inventories to sales is so limited as to produce a long lag of stocks behind sales, or even an inverse relationship between sales and inventories. If these various lags are worked out, a country can stop the negative effect of inventories on the national market. Publications Selected publications in chronological order: 1939: Price Theory for a Changing Economy 1948: Role of Inventories in Business Cycles 1950: Inventories and Business Cycles 1954: (with V. Eliasberg) The Trend of Public Employment in Great Britain 1956: Resource and Output Trends in the US since 1870 1959: The Welfare Interpretation of National Trends in National Income and Product 1959: 1959: 1961: The Nature and Significance of Kuznets Cycles 1964: Evidences of Long Swings in Aggregate Construction Since the Civil War 1968: The Passing of Kuznets Cycles 1973: (with David, Paul) Reinterpreting Economic Growth: Parables and Realities 1979: Rapid Growth Potential and Its Realization 1979: Economic Growth and Its Discontents 1986: Catching Up, Forging Ahead and Falling Behind 1993: Thinking About Growth and Other Essays The Search for