Title of article
Firm dynamics,markupvariations,andthebusinesscycle
Author/Authors
Nir Jaimovich، نويسنده ,
Issue Information
روزنامه با شماره پیاپی سال 2008
Pages
15
From page
1238
To page
1252
Abstract
Wepresentamodelinwhichnetbusinessformationisendogenouslyprocyclical.
Variationsinthenumberofoperatingfirmsleadtocountercyclicalvariationsin
markupsthatgiverisetoendogenousprocyclicalmovementsinmeasuredtotalfactor
productivity (TFP).Basedonthisresult,thepapersuggestsasimplestructural
decompositionofvariationsinTFPintothoseoriginatingfromexogenousshocksand
thoseoriginatingendogenouslyfromtheinteractionbetweenfirms’entryandexit
decisionsandthedegreeofcompetition.Thedecompositionsuggeststhataround40%
of themovementsinmeasuredTFPcanbeattributedtothisinteraction.Moreover,the
paperanalyzestheeffectson(i)themeasurementofthevolatilityofexogenousshocks
in theU.S.economyand(ii)themagnificationofshocksoverthebusinesscycle
Keywords
ProductivityBusiness cyclesFirm dynamicsMarkups
Journal title
Journal of Monetary Economics
Serial Year
2008
Journal title
Journal of Monetary Economics
Record number
846246
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