Firms face substantial uncertainty when doing business in new markets. We propose that multinational firms use “cross-market learning” to resolve such uncertainties. develop a model of firm-level expectations formation with noisy signals from multiple markets and derive predictions on market entries over the firm’s life cycle. Using novel dataset Japanese corporations includes sales each affili...

This study uses data from the Panel Survey of Income Dynamics (PSID) to address a number of questions about life-cycle earnings mobility. It develops a dynamic reduced-form model of earnings and marital status that is nonstationary over the life-cycle. A Gibbs sampling-data augmentation algorithm facilitates use of the entire sample and provides numerical approximations to the exact posterior d...