[ad_1]
Unhappy to see this difficulty continues to be being debated a lot. Should you want an empirical antidote, you could find one from Christopher Conlon, Nathan H. Miller, Tsolmon Otgon, and Yi Yao in the May issue of the AER. Ungated here. Right here is one bit:
Our train doesn’t present empirical assist for a robust correlation between markup and value adjustments…
Due to this fact, our interpretation is that the outcomes don’t assist a speculation that the rise within the DLEU markups is pushed primarily by reductions in competitors, preserving in thoughts {that a} “false destructive” is feasible.
DLEU stands for this well-known piece. This consequence would appear to decrease the possibility that the rising mark-ups got here from diminished competitors, versus larger prices, higher service, or different options of the market, akin to changing scale elasticities.
[ad_2]