The Comparative Advantage of Firms

• 成果类型: Article
• 署名作者: Boehm, Johannes; Dhingra, Swati; Morrow, John
• 署名单位: University of London; London School Economics & Political Science; Centre for Economic Policy Research - UK; Centre for Economic Policy Research - UK; University of London; London School Economics & Political Science; King's College London
• 刊物名称: JOURNAL OF POLITICAL ECONOMY
• ISSN/ISSBN: 0022-3808
• DOI: 10.1086/720630
• 发表日期: 2022
• 页码: 3025-3100
• 关键词: multiproduct firms; developing-countries; intermediate inputs; imported inputs; product; COMPETITION; TRADE; diversification; plants; size

摘要

Resource-based theories propose that firms grow by diversifying into products that use common capabilities. We provide evidence for common-input capabilities, using a policy that removed entry barriers in input markets to show that the similarity of a firm's and an industry's input mix determines firm production choices. We model industry choice and economies of scope from input capabilities. When the model is estimated for Indian manufacturing, input complementarities make firms 5% more likely to produce in an industry and are quantitatively as important as time-invariant drivers of coproduction rates. Upstream entry barriers were equivalent to a 9.5% tariff on inputs.