Abstract: An increasing body of empirical evidence has documented trends to risen concentration, profits, markups, and market power in many industries across the world since the 1980s. Several factors – such as globalisation, digitisation, the increased role of intangible assets and sunk costs, as well as M&A activity and the (under)enforcement of merger control– have been...
Abstract: Antibiotic misuse due to prescribing under diagnostic uncertainty is a leading driver of antibiotic resistance. We investigate the magnitude and mechanisms by which machine learning predictions can enable policies that reduce antibiotic misuse. Building on predictions from administrative data on urinary tract infections in Denmark, we evaluate counterfactual policies that replace...
We investigate patterns in common ownership networks between firms that are active in the US pharmaceutical industry for the period 2004-2014. Our main findings are that “brand firms” — i.e. firms that have R&D capabilities and launch new drugs — exhibit relatively dense common ownership networks with each other that further increase significantly in density over time, whereas the network of “generic ...
Die digitale Ökonomie hat unzählige Märkte nachhaltig verändert. Insbesondere Online Plattformen bieten eine noch nie dagewesene Auswahl an Produkten, gekoppelt mit innovativer Technologie, die das Zusammenfinden von Angebot und Nachfrage vereinfacht, Vertrauen aufbaut und Suchkosten reduziert. Gleichzeitig hat die neuartige Natur dieser Plattformen dazu geführt, dass sie teilweise mit den etablierten ...
Fair Trade certification aims at transferring wealth from the consumer to the farmer; however, coffee passes through many hands before reaching final consumers. Bringing together retail, wholesale, and stock market data, this study estimates how much more consumers are paying for Fair Trade-certified coffee in US supermarkets and finds estimates around $1.50 per lb. The study then assesses how this ...
The superstar firms model provides a compelling explanation for two simultaneously occurring phenomena: the rise of concentration in industries and the fall of labor shares. Our empirical analysis confirms two of the underlying assumptions of the model: the market share increases and the labor share decreases with increasing firm-level total factor productivity, providing support for the superstar ...