Foreign competition and the durability of US firm investments.
How does the exposure to product market competition affect the investment horizon of firms? We study if firms have an incentive to shift investments toward more short‐term assets when exposed to tougher competition. Based on a stylized firm investment model, we derive a within‐firm estimator using v...
| Publicado en: | RAND Journal of Economics (Wiley-Blackwell) Vol. 50; no. 3; pp. 532 - 568 |
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| Autores principales: | , , |
| Formato: | Artículo |
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Wiley-Blackwell
Fall2019
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| Materias: | |
| Acceso en línea: | Ver este registro en EBSCOhost |
| fields | @attributes: recordID: 1 pdfLink: plink: https://search.ebscohost.com/login.aspx?direct=true&db=ssf&AN=137846026&site=ehost-live header: @attributes: shortDbName: ssf uiTerm: 137846026 longDbName: Social Sciences Full Text (H.W. Wilson) uiTag: AN controlInfo: bkinfo: jinfo: jid: 07416261 56RJ jtl: RAND Journal of Economics (Wiley-Blackwell) issn: 07416261 maglogo: Y pubinfo: dt: Fall2019 vid: 50 iid: 3 pid: 480 pub: Wiley-Blackwell artinfo: ui: 137846026 10.1111/1756-2171.12286 ppf: 532 ppct: 36 formats: fmt: – @attributes: type: T – @attributes: type: C – @attributes: type: P size: 545KB tig: atl: Foreign competition and the durability of US firm investments. aug: au: Fromenteau, Philippe Schymik, Jan Tscheke, Jan affil: Ludwig Maximilian University of Munich University of Mannheim OECD su: International competition Economic competition Industrial productivity Investments Durability sug: subj: International competition Economic competition Industrial productivity Investments Miscellaneous Financial Investment Activities Investment Advice Durability ab: How does the exposure to product market competition affect the investment horizon of firms? We study if firms have an incentive to shift investments toward more short‐term assets when exposed to tougher competition. Based on a stylized firm investment model, we derive a within‐firm estimator using variation across investments with different durabilities. Exploiting the Chinese World Trade Organization (WTO) accession, we estimate the effects of product market competition on the composition of US firm investments. Firms that experienced tougher competition shifted their expenditures toward investments with a shorter durability. This effect is larger for firms with lower total factor productivity. pubtype: Academic Journal doctype: Article src: R language: English refInfo: copyright: @attributes: flag: N holdings: @attributes: islocal: N |
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