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Data and Code for: "The Nature of Firm Growth"

Principal Investigator(s):  View help for Principal Investigator(s) Benjamin Pugsley, University of Notre Dame; Petr Sedlacek, University of Oxford; Vincent Sterk, University College London

Version:  View help for Version V1

Name File Type Size Last Modified
  Appendices 01/28/2021 10:37:PM
  StatisticalModel 01/28/2021 10:42:PM
  StructuralModel-Baseline 01/28/2021 10:42:PM
  StructuralModel-Extensions 01/28/2021 10:37:PM
  StructuralModel-SplitSample 01/28/2021 10:43:PM
README.pdf application/pdf 52.7 KB 01/28/2021 05:37:PM
README.txt text/plain 5 KB 01/28/2021 05:37:PM

Project Citation: 

Pugsley, Benjamin, Sedlacek, Petr, and Sterk, Vincent. Data and Code for: “The Nature of Firm Growth.” Nashville, TN: American Economic Association [publisher], 2021. Ann Arbor, MI: Inter-university Consortium for Political and Social Research [distributor], 2021-02-24. https://doi.org/10.3886/E121021V1

Project Description

Summary:  View help for Summary
Replication materials for "The Nature of Firm Growth" by Sterk (r) Sedlacek (r) Pugsley

Abstract: About half of all startups fail within five years, and those that survive grow at vastly different speeds. Using Census microdata, we estimate that most of these differences are determined by ex-ante heterogeneity rather than persistent ex-post shocks. Embedding such heterogeneity in a firm dynamics model shows that the presence of ex-ante heterogeneity (i) is a key determinant of the firm size distribution and firm dynamics, (ii) can strongly affect the macroeconomic effects of firm-level frictions, and (iii) helps understand the recently documented decline in business dynamism by showing a disappearance of high-growth startups (``gazelles'') since the mid-1980s.


Scope of Project

Subject Terms:  View help for Subject Terms Firm Dynamics; Census Data; Startups; macroeconomics
JEL Classification:  View help for JEL Classification
      D22 Firm Behavior: Empirical Analysis
      E23 Macroeconomics: Production
      E24 Employment; Unemployment; Wages; Intergenerational Income Distribution; Aggregate Human Capital; Aggregate Labor Productivity
Geographic Coverage:  View help for Geographic Coverage United States
Time Period(s):  View help for Time Period(s) 1979 – 2012
Universe:  View help for Universe US nonfarm private sector establishments and firms
Data Type(s):  View help for Data Type(s) aggregate data


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Published Versions

V2 [2023-04-20]

V1 [2021-02-24]

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