TY - JOUR

T1 - On the granularity of the German economy - first evidence from the top 100 companies panel database

AU - Wagner, Joachim

AU - Weche, John P.

PY - 2020/12/14

Y1 - 2020/12/14

N2 - Applying the approach suggested by Gabaix (Econometrica 2011) this paper uses the newly available Top 100 Companies Panel Database for Germany to demonstrate that idiosyncratic shocks in the largest firms seem not to be important for an understanding of the aggregate volatility of the German economy. This evidence is in contrast with findings for other countries and it differs from earlier results for parts of the German economy.

AB - Applying the approach suggested by Gabaix (Econometrica 2011) this paper uses the newly available Top 100 Companies Panel Database for Germany to demonstrate that idiosyncratic shocks in the largest firms seem not to be important for an understanding of the aggregate volatility of the German economy. This evidence is in contrast with findings for other countries and it differs from earlier results for parts of the German economy.

KW - Economics

KW - Germany

KW - granular residual

KW - Idiosyncratic shocks

UR - http://www.scopus.com/inward/record.url?scp=85078495647&partnerID=8YFLogxK

U2 - 10.1080/13504851.2020.1722790

DO - 10.1080/13504851.2020.1722790

M3 - Journal articles

AN - SCOPUS:85078495647

VL - 27

SP - 1768

EP - 1771

JO - Applied Economics Letters

JF - Applied Economics Letters

SN - 1350-4851

IS - 21

ER -