The German Manufacturing Sector is a Granular Economy
Using the approach suggested by Gabaix (Econometrica 2011) this paper demonstrates that idiosyncratic shocks in the largest firms are important for an understanding of aggregate volatility in German manufacturing industries. The implications of this finding for theoretical and empirical research and for economic policy are discussed.
|Date of creation:||Nov 2011|
|Date of revision:|
|Publication status:||published in: Applied Economics Letters, 2012, 19 (17), 1663-1665|
|Contact details of provider:|| Postal: |
Phone: +49 228 3894 223
Fax: +49 228 3894 180
Web page: http://www.iza.org
|Order Information:|| Postal: IZA, Margard Ody, P.O. Box 7240, D-53072 Bonn, Germany|
References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Xavier Gabaix, 2008.
"Power Laws in Economics and Finance,"
NBER Working Papers
14299, National Bureau of Economic Research, Inc.
- Redding, Stephen J., 2010.
"Theories of Heterogeneous Firms and Trade,"
CEPR Discussion Papers
7961, C.E.P.R. Discussion Papers.
- Stephen J. Redding, 2010. "Theories of Heterogeneous Firms and Trade," NBER Working Papers 16562, National Bureau of Economic Research, Inc.
- Stephen Redding, 2010. "Theories of Heterogeneous Firms and Trade," CEP Discussion Papers dp0994, Centre for Economic Performance, LSE.
- Stephen Redding, 2010. "Theories of heterogeneous firms and trade," LSE Research Online Documents on Economics 48908, London School of Economics and Political Science, LSE Library.
- Xavier Gabaix, 2005.
"The Granular Origins of Aggregate Fluctuations,"
2005 Meeting Papers
470, Society for Economic Dynamics.
- Xavier Gabaix & Rustam Ibragimov, 2011.
"Rank - 1 / 2: A Simple Way to Improve the OLS Estimation of Tail Exponents,"
Journal of Business & Economic Statistics,
Taylor & Francis Journals, vol. 29(1), pages 24-39, January.
- Xavier Gabaix & Rustam Ibragimov, 2007. "Rank-1/2: A Simple Way to Improve the OLS Estimation of Tail Exponents," NBER Technical Working Papers 0342, National Bureau of Economic Research, Inc.
- Michael Konold, 2007. "European Data Watch: New possibilities for economic research through integration of establishment-level panel data of German official statistics," Schmollers Jahrbuch : Journal of Applied Social Science Studies / Zeitschrift für Wirtschafts- und Sozialwissenschaften, Duncker & Humblot, Berlin, vol. 127(2), pages 321-334.
- Daniel S. Hamermesh, 2000. "The Craft of labormetrics," Industrial and Labor Relations Review, ILR Review, Cornell University, ILR School, vol. 53(3), pages 363-380, April.
When requesting a correction, please mention this item's handle: RePEc:iza:izadps:dp6115. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Mark Fallak)
If references are entirely missing, you can add them using this form.