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Firm Size, Market Liberalization and Growth

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  • Petar Stankov

Abstract

Economies have markedly different firm size distributions. At the same time, firms of different size grow differently after identical financial- and product-market liberalization reforms. Thus, identical reforms can produce different growth outcomes across countries. This result is reached after exploring firm-level data on sales and sales per worker across 135 developing and post-transition economies. It helps explain the remarkable variation in the vast development literature studying the effects of various market-oriented reforms across countries and over time.

Suggested Citation

  • Petar Stankov, 2013. "Firm Size, Market Liberalization and Growth," CERGE-EI Working Papers wp485, The Center for Economic Research and Graduate Education - Economics Institute, Prague.
    • Handle: RePEc:cer:papers:wp485
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    File URL: http://www.cerge-ei.cz/pdf/wp/Wp485.pdf
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    References listed on IDEAS

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    Cited by:

    1. Petar Stankov, 2013. "Crises, Reforms and Growth: A Non-Technical Summary of Recent Empirical Work," Economic Alternatives, University of National and World Economy, Sofia, Bulgaria, issue 4, pages 55-61, December.
    2. Jan Babecky & Tomas Havranek, 2013. "Structural Reforms and Economic Growth: A Meta-Analysis," Working Papers 2013/08, Czech National Bank.

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    More about this item

    Keywords

    financial reforms; economic growth; firm size distributions; reform outcome divergence;
    All these keywords.

    JEL classification:

    • D22 - Microeconomics - - Production and Organizations - - - Firm Behavior: Empirical Analysis
    • L11 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Production, Pricing, and Market Structure; Size Distribution of Firms
    • L25 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Firm Performance
    • L53 - Industrial Organization - - Regulation and Industrial Policy - - - Enterprise Policy
    • O12 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Microeconomic Analyses of Economic Development
    • O43 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Institutions and Growth

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