Eslava, Marcela; Haltiwanger, John; Kugler, Adriana D.; … - 2021
In this paper, we analyze employment and capital adjustments using a panel of plants from Colombia. We allow for … nonlinear adjustment of employment to reflect not only adjustment costs of labor but also adjustment costs of capital, and vice … non-linear adjustments in employment and capital in response to market fundamentals. In addition, we find that employment …