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Identifying the dispersion of the Pareto productivity distribution in international trade

Author

Listed:
  • Kang, Kichun

Abstract

Most of the heterogeneous firm studies use the Pareto distribution of productivity. This paper identifies the Pareto parameter by relying on guidance from monopolistic competition models. The application to Korean export industries reports that the dispersion of productivity varies across industries.

Suggested Citation

  • Kang, Kichun, 2017. "Identifying the dispersion of the Pareto productivity distribution in international trade," Economics Letters, Elsevier, vol. 161(C), pages 108-111.
    • Handle: RePEc:eee:ecolet:v:161:y:2017:i:c:p:108-111
    DOI: 10.1016/j.econlet.2017.09.030
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    References listed on IDEAS

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    1. repec:hal:spmain:info:hdl:2441/f6h8764enu2lskk9p2m9j4i07 is not listed on IDEAS
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    3. Christian Broda & David E. Weinstein, 2006. "Globalization and the Gains From Variety," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 121(2), pages 541-585.
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    5. Elhanan Helpman & Marc J. Melitz & Stephen R. Yeaple, 2004. "Export Versus FDI with Heterogeneous Firms," American Economic Review, American Economic Association, vol. 94(1), pages 300-316, March.
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    8. Costas Arkolakis & Svetlana Demidova & Peter J. Klenow & Andres Rodriguez-Clare, 2008. "Endogenous Variety and the Gains from Trade," American Economic Review, American Economic Association, vol. 98(2), pages 444-450, May.
    9. Marc J. Melitz, 2003. "The Impact of Trade on Intra-Industry Reallocations and Aggregate Industry Productivity," Econometrica, Econometric Society, vol. 71(6), pages 1695-1725, November.
    10. repec:hal:spmain:info:hdl:2441/6apm7lruv088iagm4rv2c33jtg is not listed on IDEAS
    11. Thomas Chaney, 2008. "Distorted Gravity: The Intensive and Extensive Margins of International Trade," Post-Print hal-03579844, HAL.
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    14. Feenstra, Robert & Kee, Hiau Looi, 2008. "Export variety and country productivity: Estimating the monopolistic competition model with endogenous productivity," Journal of International Economics, Elsevier, vol. 74(2), pages 500-518, March.
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    Cited by:

    1. Márta Bisztray & Francesca de Nicola & Balázs Muraközy, 2020. "Industry dynamics and high-growth firms' contribution to productivity growth," CERS-IE WORKING PAPERS 2047, Institute of Economics, Centre for Economic and Regional Studies.
    2. Márta Bisztray & Francesca de Nicola & Balázs Muraközy, 2023. "High-growth firms’ contribution to aggregate productivity growth," Small Business Economics, Springer, vol. 60(2), pages 771-811, February.
    3. Kichun Kang, 2022. "Import Variety and Productivity: Positive or Negative?," Korean Economic Review, Korean Economic Association, vol. 38, pages 43-72.
    4. Yuichiro Matsumoto, 2019. "Firm Size Distribution and Variable Elasticity of Demand," Discussion Papers in Economics and Business 19-02, Osaka University, Graduate School of Economics.

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    More about this item

    Keywords

    Pareto dispersion; Productivity; Export variety;
    All these keywords.

    JEL classification:

    • F12 - International Economics - - Trade - - - Models of Trade with Imperfect Competition and Scale Economies; Fragmentation
    • F14 - International Economics - - Trade - - - Empirical Studies of Trade

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