We consider a tractable model of heterogeneous production units that features endogenous entry and productivity … standard factor misallocation framework, policy distortions featuring a positive productivity elasticity of distortions imply … larger reductions in output through smaller investments in establishment productivity. A calibrated version of the model …

What accounts for differences in output per capita and total factor productivity (TFP) across countries? Empirical … in a general equilibrium model of establishment productivity where the distribution of productivity is characterized in … productivity improvement thereby altering the productivity distribution and equilibrium prices (dynamic effect), further lowering …

Keynes's “Grandchildren” essay famously predicted both a rapid increase in productivity and a sharp shrinkage of the …

at the micro level typically reduces total factor productivity at the macro level. Quantifying these effects is leading …

trade shifts the distribution towards higher average productivity due to entry and exit of firms. These models ignore the … assumption, produce in their 'birth nation.' We show that when firms are allowed to switch locations, new productivity effects … reinforces the big-nation productivity gain while reducing or even reversing the small-nation productivity gain. The small nation …

. The implications of the theory both for measurement and government policy are examined …

productivity. We investigate these phenomena further by examining the relationship between plant-level productivity and firm …-level R&D. We find that (1) the productivity-enhancing effects of parent firm R&D are diminished by geographic distance from … the research lab and `technological' distance between the product-field focus of the R&D and the plants; (2) productivity …