Sales and Markup Dispersion: Theory and Empirics
نویسندگان
چکیده
We characterize the relationship between distributions of two variables linked by a structural model. then show that, in models heterogeneous firms monopolistic competition, this implies new demand function that we call “CREMR” (Constant Revenue Elasticity Marginal Revenue). This is only one consistent with productivity and sales having same form (whether Pareto, lognormal, or Fréchet) cross section, it necessary sufficient for Gibrat's Law to hold over time. Among applications consider, use our methodology misallocation across firms; derive distribution markups implied any assumptions on productivity; empirically CREMR?based markup provide an excellent parsimonious fit Indian firm?level data, which turn allows us calculate proportion are suboptimal size market equilibrium.
منابع مشابه
Market Microstructure: Theory and Empirics
This paper reviews the literature on market microstructure. Particular emphasis is given to the research dealing with the impact that a speci c trading mechanism might have on price behaviour and with the comparison of the performance of alternative market structures. Theoretical models and empirical studies investigating their implications are explored. The major statistical properties and reg...
متن کاملSkewed Wealth Distributions: Theory and Empirics
Invariably across a cross-section of countries and time periods, wealth distributions are skewed to the right displaying thick upper tails, that is, large and slowly declining top wealth shares. In this survey we categorize the theoretical studies on the distribution of wealth in terms of the underlying economic mechanisms generating skewness and thick tails. Further, we show how these mechanis...
متن کاملذخیره در منابع من
با ذخیره ی این منبع در منابع من، دسترسی به آن را برای استفاده های بعدی آسان تر کنید
ژورنال
عنوان ژورنال: Econometrica
سال: 2021
ISSN: ['0012-9682', '1468-0262']
DOI: https://doi.org/10.3982/ecta17416