productivity or vice versa? Using matching methods, I find that productivity shocks are followed by significant increases in size … defined by employment. In contrast, size shocks are not followed by productivity gains at the firm level. This finding casts … doubt on the conventional wisdom that aggregate productivity in Spain is driven by a firm size distribution biased towards …

productivity or vice versa? Using firm-level administrative data for Spain, I find that productivity shocks are followed by … significant increases in size defined by employment. In contrast, size shocks are not followed by productivity gains at the firm …