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Keywords:manufacturing investment 

Report
Manufacturing Gains from Green Energy and Semiconductor Spending since the CHIPS and Inflation Reduction Acts

Real investment—spending (net of inflation) on nonresidential construction, manufacturing equipment, and intellectual property products (IPP)—in the United States has grown substantially over the last few years despite the high-interest-rate environment that emerged in 2022 and is only now beginning to subside. The current strength of investment is important to policymakers because its sensitivity to interest rates makes it a key channel through which monetary policy is transmitted into the economy and because real private domestic investment constitutes 15 percent of US real GDP.
Current Policy Perspectives , Paper 2024-7

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