We construct linked register data on five Norwegian birth cohorts, covering: criminal charges after age 15; family characteristics and history up to age 15; and (for males) IQ test scores. A longitudinal analysis of the risk of initiation into crime in early adulthood suggests an increased risk for...

In this paper, we examine two questions: i) how changes in the funding costs of banks affect retail loan rates and ii) how changes in relative loan rates between banks affect their market shares. To do so, we estimate a simultaneous system of equations model using panel data for six Norwegian...

We use the Stock and Wise approximation of stochastic dynamic programming in order to identify the extent to which profitability can explain exit behavior. In our econometric model, heterogeneous firms engage in Bertrand (price) competition. Firms produce heterogeneous products, using labor,...

We develop an econometric model for firm exit, using stochastic dynamic programming (SDP) as a starting point. According to SDP, the value of an operating firm can be written as the sum of (i) the net present value of continuing production if the firm is committed to a future exit date, and (ii)...

The paper presents a panel data analysis of tobacco demand. The purpose is threefold: (i) to measure income, own-price, and cross-price responses for two tobacco commodities: cigarettes and handrolling tobacco, (ii) to investigate sociodemographic effects, and (iii) to utilize the potential...

Norwegian business spending on R&D is low by OECD standards. To stimulate business R&D, in 2002 the Norwegian government introduced a tax-based incentive, SkatteFUNN. We analyze the effects of SkatteFUNN on the likelihood of innovating and patenting. Using a rich database for Norwegian firms, we...

This paper discusses identification, estimation and testing in panel data models with attrition. We focus on a situation which often occurs in the analysis of firms: Attrition (exit) is endogenous and depends on the outcomes of an observed stochastic process and the interest-parameters...

A framework for analyzing substitution and scale properties, and technical change from plant-level panel data is presented. Focus is on comparing the constant and random coefficient specification of the substitution and scale parameters and investigating the potential variation of the parameters...

How do firms differ, and why do they differ even within narrowly defined industries? Using evidence from six high-tech, manufacturing industries covering a 24-year period, we show that differences in sales, materials, labor costs and capital across firms can largely be summarized by a single,...

We analyse the energy flexibility and technological change in the pulp and paper industry by applying a multioutput production function. The pulp and paper industry mostly consists of heterogeneous firms. They produce a wide range of different goods with different technologies. We take the...