Du, Jun; Girma, Sourafel; Görg, Holger; Stepanok, Ignat - 2022
competitive. We implement an approach that allows for the joint estimation of direct and indirect effects of subsidies on … subsidized and non-subsidized firms. We find that firms that receive subsidies experience a boost for productivity. However, our … where other firms are subsidized. These negative externalities depend on the share of firms that receive subsidies in the …