TITLE

Entry and Productivity Growth: Evidence From Microlevel Panel Data

AUTHOR(S)
Aghion, Philippe; Blundell, Richard; Griffith, Rachel; Howitt, Peter; Prantl, Susanne
PUB. DATE
April 2004
SOURCE
Journal of the European Economic Association;Apr-May2004, Vol. 2 Issue 2/3, p265
SOURCE TYPE
Academic Journal
DOC. TYPE
Article
ABSTRACT
How does entry affect productivity growth of incumbents? In this paper we exploit policy reforms in the United Kingdom that changed entry conditions by opening up the U.K. economy during the 1980s and panel data on British establishments to shed light on this question. We show that more entry, measured by a higher share of industry employment in foreign firms, has led to faster total factor productivity growth of domestic incumbent firms and thus to faster aggregate productivity growth.
ACCESSION #
13150191

 

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