Feenstra, Robert C.; Macedoni, Luca; Xu, Mingzhi - National Bureau of Economic Research - 2022
We examine the relationship between large firms and the rising profit share in a model that features oligopolistic … the profit share because it increases firm-level markups. Using data on purchases at the household-barcode level from … Nielsen, we quantify the role of consumer heterogeneity, finding that the aggregate markup and the profit share are 8 and 3 …