We use a large dataset covering all registered plants in the manufacturing sector in India over the period 1986 to 1995 to examine the effects of a 1992 income tax law change that eliminated the double taxation of wages paid to partners in partnership firms. This tax law change provides a unique...

We investigate financing constraints in a large cross-country data set covering most of the European economy. Firm level investment sensitivity to cash flow is used to identify financing constraints. We find that the sensitivities are significantly positive on average, controlling for country...

How do changes in competitive intensity affect trade patterns? In this paper, we exploit a quasi-natural experiment associated with increased anti-trust enforcement activity over the last two decades. A large number of international markets underwent a change in competitive intensity as they...

In this study, we present novel statistics on the patenting in US manufacturing and new evidence on the question of what happens when firms patent. We do so by creating a comprehensive firm-patent matched dataset that links the NBER patent data (covering the universe of patents) to firm data...

We propose an industry-level index of capital liquidity -- defined as the share of used capital in aggregate industry capital expenditure -- that relates (inversely) to sunkenness of capital investment. We then test the effect of capital liquidity on the dispersion and mean of industry...