We analyze shocks to productivity, collateral constraint (credit shock), firm operation, and labor disutility in a …. Compared to the productivity shock, the credit and the lockdown shocks generate larger changes in firm entry and exit. The … credit shock accounts for lower entry, higher exit, and concentration of exit among young firms during the Great Recession …

This paper investigates theoretically and empirically the endogenous investment decision of firms conditioning on … switchers), initial productivity and investment are strategic complements, inducing intra-industrial divergence. On the contrary …, when preferences are quadratic, initial productivity and investment are strategic substitutes: less productive firms invest …