This paper provides a theory and evidence for why firms with higher markups extend more trade credit, focusing on a financing cost channel that is distinct from existing competition-based …
If households form habits over individual goods rather than over a consumption aggregate, the demand a firm faces depends on its own past sales, its pricing problem becomes dynamic, and mark-ups turn …
This 1997 *Journal of Political Economy* paper (circulated as Federal Reserve International Finance Discussion Paper 546, March 1995) asks how large deviations from constant returns to scale and …
PublishedEconometricaOnline 1 Jan 2026Published Jan 2026
Using matched data combining physical production records (EAP survey) and financial statements (FARE) for 147,403 firm-years across 18 two-digit manufacturing industries in France (2009–2019), the …
Online FirstQuarterly Journal of EconomicsOnline 1 Jul 2026
This paper studies who bears the cost when unions raise worker wages — consumers, shareholders, other workers, or nobody, if productivity offsets the cost — using a legislative change in Norway that …