Firm Dynamics and the Aggregate Economy 2017

A growing literature has documented that firm dynamics exhibit substantial differences in developed and developing countries. While there is a massive turnover of firms in developed countries, such a selection mechanism is largely absent in developing countries. Understanding the determinants of firm growth, factor reallocation, and firm-level productivity, as well as the link between firm and industry dynamics is key to shed light on performances of aggregate economies. At this conference, prominent researchers presented their recent work on the subject and fostered a conversation among scholars that used different approaches to understand firm and industry dynamics and their aggregate implications.