Showing 1 - 10 of 668
This paper documents large differences across vintages in the properties of the widely-used quarterly utilization-adjusted TFP series produced by Fernald (2014), who provides updated data each quarter on his website. The most recent vintage of the adjusted TFP series has correlations with...
Persistent link: https://www.econbiz.de/10012456521
impact of a shock can be boiled down into two components: its "pure" technology effect; and its effect on allocative …
Persistent link: https://www.econbiz.de/10012453706
Firm- and plant-level empirical studies typically find that trade liberalization squeezes price-cost margins among import-competing firms, that this heightened competitive pressure induces productivity gains among these same firms, and that further efficiency gains come from market share...
Persistent link: https://www.econbiz.de/10012468750
We provide a new model that generates persistent performance differences amongst seemingly similar enterprises. Our model provides a mechanism whereby efficient incumbent rivals can give permission for an inefficient firm to exist in the presence of efficient entrants. We demonstrate that, in a...
Persistent link: https://www.econbiz.de/10012458155
This paper investigates the role that the entry and exit of heterogeneous firms plays in shaping aggregate fluctuations in economic activity. In so doing, it develops a dynamic stochastic general equilibrium model in which procyclical entry and countercyclical exit along a real business cycle...
Persistent link: https://www.econbiz.de/10012461225
decline in output--explained by a drop in aggregate total factor productivity and investment--and a protracted increase in …
Persistent link: https://www.econbiz.de/10012458667
We study a model of lumpy investment wherein establishments face persistent shocks to common and plant …-specific productivity, and nonconvex adjustment costs lead them to pursue generalized (S,s) investment rules. We allow persistent … the first model consistent with available evidence on establishment-level investment rates. Examining the implications of …
Persistent link: https://www.econbiz.de/10012465811
significance. This paper derives highly tractable current account and investment specifications that we estimate without resorting …-specific productivity shocks tend to worsen the current account, whereas global shocks have little effect. Both types of shock raise … investment. It is a puzzle, however, for the intertemporal model that long-lasting local productivity shocks have a larger impact …
Persistent link: https://www.econbiz.de/10012474830
We estimate the volatility of plant-level idiosyncratic shocks in the U.S. manufacturing sector. Our measure of volatility is the variation in Revenue Total Factor Productivity which is not explained by either industry- or economy-wide factors, or by establishments' characteristics. Consistent...
Persistent link: https://www.econbiz.de/10012460998
We document a new business cycle fact: the cross-sectional standard deviation of firm-level investment (investment … dispersion) is robustly and significantly procyclical. This makes investment dispersion different from the dispersion of … productivity and output growth, which is countercyclical. Investment dispersion is more procyclical in the goods-producing sectors …
Persistent link: https://www.econbiz.de/10012461797