We study how increased import competition affects the evolution of productivity in a small open economy. We use a … gains from competition over the sample period exceeding 1.2 billion euros, which is over 2.5% of the average annual value of … also find that firms respond to competition by focusing more on their core products. Instrumenting import share with changes …

giving more to all entrepreneurs. In equilibrium, competition for the best entrepreneurs forces intermediaries to offer …. Competition among financial intermediaries always forces them to fund projects with negative expected returns both from a private … scale. The three main features of our framework (competition, adverse selection, and limited liability) are necessary to get …