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Project Citation: 

Poschke, Markus. Replication data for: The Firm Size Distribution across Countries and Skill-Biased Change in Entrepreneurial Technology. Nashville, TN: American Economic Association [publisher], 2018. Ann Arbor, MI: Inter-university Consortium for Political and Social Research [distributor], 2019-10-12. https://doi.org/10.3886/E114100V1

Project Description

Summary:  View help for Summary Development is associated with systematic changes in the firm size distribution. I document that the mean and dispersion of firm size are larger in rich countries, and increased over time for US firms. To analyze the firm size-development link, I construct a frictionless general equilibrium model of occupational choice with skill-biased change in entrepreneurial technology (i.e., technical progress favors better entrepreneurs). The model accounts for key aspects of the US experience with only changes in aggregate technology. It attributes half the variation in mean and dispersion of firm size across countries to technical change. Distortions also affect the size distribution.

Scope of Project

JEL Classification:  View help for JEL Classification
      J24 Human Capital; Skills; Occupational Choice; Labor Productivity
      L11 Production, Pricing, and Market Structure; Size Distribution of Firms
      L25 Firm Performance: Size, Diversification, and Scope
      L26 Entrepreneurship
      O33 Technological Change: Choices and Consequences; Diffusion Processes


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