On the granularity of the German economy - first evidence from the top 100 companies panel database
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Authors
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.
Original language | English |
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Journal | Applied Economics Letters |
Volume | 27 |
Issue number | 21 |
Pages (from-to) | 1768 - 1771 |
Number of pages | 4 |
ISSN | 1350-4851 |
DOIs | |
Publication status | Published - 14.12.2020 |
- Economics - Germany, granular residual, Idiosyncratic shocks