A Fast Literature Search Engine based on top-quality journals, by Dr. Mingze Gao.
- Topic classification is ongoing.
- Please kindly let me know [mingze.gao@mq.edu.au] in case of any errors.
Your search
Publication year
Changing Business Dynamism and Productivity: Shocks versus Responsiveness
Resource type
Authors/contributors
- Decker, Ryan A. (Author)
- Haltiwanger, John (Author)
- Jarmin, Ron S. (Author)
- Miranda, Javier (Author)
Title
Changing Business Dynamism and Productivity: Shocks versus Responsiveness
Abstract
The pace of job reallocation has declined in the United States in recent decades. We draw insight from canonical models of business dynamics in which reallocation can decline due to (i) lower dispersion of idiosyncratic shocks faced by businesses, or (ii) weaker marginal responsiveness of businesses to shocks. We show that shock dispersion has actually risen, while the responsiveness of business-level employment to productivity has weakened. Moreover, declining responsiveness can account for a significant fraction of the decline in the pace of job reallocation, and we find suggestive evidence this has been a drag on aggregate productivity.
Publication
American Economic Review
Volume
110
Issue
12
Pages
3952-90
Date
2020-12
Citation
Decker, R. A., Haltiwanger, J., Jarmin, R. S., & Miranda, J. (2020). Changing Business Dynamism and Productivity: Shocks versus Responsiveness. American Economic Review, 110, 3952–3990.
Journals
Link to this record