000			01264nam a22001577a 4500
999			_c525535 _d525535
008			240320b ||||| |||| 00| 0 eng d
100			_aRidder, Maarten De _950691
245			_aMarket power and innovation in the intangible economy
260			_aThe American Economic Review
300			_a114(1), Jan, 2024: p.199-251
520			_aThis paper offers a unified explanation for the slowdown of productivity growth, the decline in business dynamism, and the rise of market power. Using a quantitative framework, I show that the rise of intangible inputs, such as software, can explain these trends. Intangibles reduce marginal costs and raise fixed costs, which gives firms with high-intangible adoption a competitive advantage, in turn deterring other firms from entering. I structurally estimate the model on French and US micro data. After initially boosting productivity, the rise of intangibles causes a decline in productivity growth, consistent with the empirical trends observed since the mid-1990s.- Reproduced https://www.aeaweb.org/articles?id=10.1257/aer.20201079
650			_aProduction, Pricing, and Market Structure; Size Distribution of Firms _950692
773			_aThe American Economic Review
906			_aPRODUCTION
942			_cAR