We revisit the debate on the role of technological improvement and market share reallocation in determining aggregate productivity gains. Contrary to previous work that neglects dependencies between suppliers in global value chains, we explicitly account for input linkages that impact both...

The idea that market selection promotes survival and expansion of the 'fittest' producersis a key principle underlying theories of competition. Yet, despite its intuitive appeal, thehypothesis that companies with superior productivity also exhibit higher growth lacks em-pirical support. One...