CREDIT AND THE LABOUR SHARE: EVIDENCE FROM US STATES

• 成果类型: Article
• 署名作者: Leblebicioglu, Asli; Weinberger, Ariel
• 署名单位: City University of New York (CUNY) System; Baruch College (CUNY); George Washington University
• 刊物名称: ECONOMIC JOURNAL
• ISSN/ISSBN: 0013-0133
• DOI: 10.1093/ej/ueaa025
• 发表日期: 2020
• 页码: 1782-1816
• 关键词: bank branching deregulation; finance; GROWTH; fluctuations; PRODUCTIVITY; COMPETITION; decline; IMPACT; fall

摘要

We investigate the role of credit markets as a cause for changes in the US labour share. Causal evidence is provided that the labour share declined between 0.8 and 1.2 percentage points following the interstate banking deregulation, explaining more than half of the overall reduction during that period. The lower costs of credit and greater bank competition in each state are mechanisms that led to the decline. To quantify the relationship between credit and factor payments, we calibrate a model with financial frictions and highlight financial development as a potential channel for the reduction in labour share observed globally.