The Increase in Turbulence and Market Power

• 成果类型: Article
• 署名作者: Markiewicz, Agnieszka; Silvestrini, Riccardo
• 署名单位: Erasmus University Rotterdam; Erasmus University Rotterdam - Excl Erasmus MC; Tinbergen Institute; University of Naples Federico II
• 刊物名称: ECONOMIC JOURNAL
• ISSN/ISSBN: 0013-0133
• DOI: 10.1093/ej/ueaf059
• 发表日期: 2026
• 关键词: Firm Dynamics; labor share; aggregate; entry; volatility; markups; GROWTH; rise

摘要

In recent decades, market power has been on the rise, although its increase varies between sectors. We argue that this heterogeneity can be partially attributed to sector-specific differences in turbulence dynamics. Turbulence, a measure of firms' churn over the revenue productivity distribution, reflects firms' ability to sustain their productivity over time. In a dynamic oligopolistic competition model, an increase in turbulence accelerates the turnover of leaders, and triggers reallocation of market shares towards high-markup firms. The predictions of our model are consistent with empirical evidence from both the United States and Europe.