Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/128429
Authors: 
Forlani, Emanuele
Martin, Ralf
Mion, Giordano
Muls, Mirabelle
Year of Publication: 
2016
Series/Report no.: 
CESifo Working Paper 5725
Abstract: 
We develop a new econometric framework that simultaneously allows recovering heterogeneity in demand, TFP and markups across firms while leaving the correlation among the three unrestricted. We do this by systematically exploiting assumptions that are implicit in previous firm-level productivity estimation approaches. We use Belgian firms production data to quantify TFP, demand and markups and show how they are correlated among them, across time and with measures obtained from other approaches. We also show to what extent our three dimensions of heterogeneity allow us to gain deeper and sharper insights on two key firm-level outcomes: export status and size.
Subjects: 
demand
productivity
markups
production function estimation
export status
firm size
JEL: 
D24
L11
L25
F14
Document Type: 
Working Paper

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