The Origins of Firm Heterogeneity: A Production Network Approach

• 成果类型: Article
• 署名作者: Bernard, Andrew B.; Dhyne, Emmanuel; Magerman, Glenn; Manova, Kalina; Moxnes, Andreas
• 署名单位: Dartmouth College; Center for Economic & Policy Research (CEPR); National Bureau of Economic Research; European Central Bank; National Bank of Belgium; University of Mons; Universite Libre de Bruxelles; European Central Bank; National Bank of Belgium; University of London; University College London; University of Oslo
• 刊物名称: JOURNAL OF POLITICAL ECONOMY
• ISSN/ISSBN: 0022-3808
• DOI: 10.1086/719759
• 发表日期: 2022
• 页码: 1765-1804
• 关键词: trade; selection; GROWTH; IMPACT; DYNAMICS; models; share; rise; EXIT

摘要

We explore firm size heterogeneity in production networks. In comprehensive data for Belgium, firms with more customers have higher total sales but lower sales and lower market shares per customer. Downstream factors, especially the number of customers, explain the vast majority of firm size dispersion. We rationalize these facts with a model of network formation and two-dimensional firm heterogeneity. Higher productivity generates more matches and larger market shares among customers. Higher relationship capability generates more customers and higher sales. Model estimates suggest a strong negative correlation between productivity and relationship capability and potentially large welfare gains from improving relationship capability.