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Existing micro evidence of firms' price changes tends to show a downward sloping hazard rate – the longer the price of a product has remained the same, the less likely it is that the price will change. Using a panel of Norwegian plant- and product-specific prices, we also find a downward...
Persistent link: https://www.econbiz.de/10012912662
manufacturing. Removing barriers to entry of new firms reduces markups more in large countries, while removing barriers to imports … reduces markups more in small countries …
Persistent link: https://www.econbiz.de/10010523973
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manufacturing. Removing barriers to the entry of new firms reduces markups more in large countries, while removing barriers to … imports reduces markups more in small countries.Actual and potential competition is a powerful source of discipline on the … new entry and import competition on industry price-cost markups depend on country size.The authors predicted that barriers …
Persistent link: https://www.econbiz.de/10012748650
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In this paper, decisions regarding production in oil exporting countries are studied by means of theoretical analysis and empirical investigation. Under the assumptions of exogenous oil prices and world oil demand, we are able to describe the relationship between oil production levels and...
Persistent link: https://www.econbiz.de/10009231652
We propose an aggregate growth index that explicitly accounts for non-normality in the micro-economic distribution of firm growth rates and for the presence of a negative scaling relation between their volatility and the size of the firm. Using Compustat data on US publicly traded company, we...
Persistent link: https://www.econbiz.de/10011729428
Persistent link: https://www.econbiz.de/10000148055
We examine a dynamic disclosure model in which the value of a firm follows a random walk. Every period, with some probability, the manager learns the value and decides whether to disclose it. The manager maximizes the market perception of the firm's value, which is based on disclosed...
Persistent link: https://www.econbiz.de/10013306273
It is well known from time series analysis that shocks to aggregate output have very persistent effects. This paper argues that the relation between the expected growth rate of a firm and its size provides a microfoundation for such aggregate persistence. The empirical evidence indicates that...
Persistent link: https://www.econbiz.de/10014189506