Large Dynamic Market Entry with Peer Effects

WIFO Research Seminar

Veranstalter: Österreichisches Institut für Wirtschaftsforschung (WIFO)

Redner:
Peter Egger (ETH Zürich)

Sprache: Englisch

WIFO, Helene-Lieser-Saal oder via Microsoft-Teams

Egger and his colleague propose a dynamic network probit model of market entry with firm-market fixed effects. The model accommodates own state dependence, contemporaneous network interactions, and flexible lagged peer effects.

Teilnahme via MS Teams

They develop a fixed-effect marginal composite-likelihood estimator with an analytical correction for incidental-parameter bias. Simulations show substantially lower bias than the uncorrected estimator. An application to 2,218 Chinese firms across 178 destinations during 2001-2013 reveals strong persistence, positive contemporaneous complementarities among firms with similar export portfolios, and a negative lagged peer effect. Peer entry and continuation reduce participation, peer exit raises it, and peer export growth mitigates the negative continuation effect.

Bitte beachten Sie, dass dieses Seminar aufgezeichnet und in digitaler Form veröffentlicht wird.

Wenn Sie persönlich teilnehmen möchten, melden Sie sich bitte hier an.