productivity and a risky technology with productivity subject to sizeable shocks. Strict EPL makes the risky technology relatively … less attractive because it is more costly to shed workers upon receiving a low productivity draw. We calibrate the model … mechanism can explain a considerable portion of the slowdown in productivity in the EU relative to the US since 1995. …

productivity and a risky technology with productivity subject to sizeable shocks. Strict EPL makes the risky technology relatively … less attractive because it is more costly to shed workers upon receiving a low productivity draw. We calibrate the model … mechanism can explain a considerable portion of the slowdown in productivity in the EU relative to the US since 1995 …

This paper combines different strands of the productivity literature to investigate the effect of idiosyncratic (firm …-country differences in key economic outcomes, such as productivity or output per capita, to differences in policies and institutions that … determinants of productivity at the firm level and the evolution of the distribution of productivity across firms within each …