I am an Australian national currently studying in London. My work sits at the intersection of IO and macroeconomics and is focused on new trends in industry and firm dynamics. I leverage large unstructured datasets (e.g. online text, transactions data) to test theoretical predictions about firms' behaviour and the aggregate implications for long-run economic prosperity.
I currently working on four active projects:
A Model of High Dimensional Horizontal Competition. This project proposes a model that nests the competitive environment of
both Hotelling and Dixit-Stiqlitz, but which is flexible to disaggregate patters of product-market substitution that change over time. The data used to test the model comes from over 30 million textual product descriptions from firms in the US, Canada, UK, Australia and New Zealand.
Causal Effect of Credit Constraints: A New RDD Approach. This project utilises a new RDD design to establish the causal impact of credit constraints on firm performance, using the universe of UK firms from 2000-2019. In particular, we are interested in the spill-over effects that propagate through the network of product market competition.
Working Title: When Greggs Comes to Town. Using transaction level data - matched to firms, customers, and geographic location, we document the impact of new firm entry on incumbent productivity, conduct of competition, and industry concentration.
Disentangling Market Power: Specialisation vs M&A Activity. We attempt to decompose changes in market power along two dimensions: (1) product specialisation, and (2) M&A activity. We argue that these distinct causes of rising market power have vastly different welfare implications and disentangling the two is thus crucial when forming an optimal policy response.
Macroeconomics, IO, Innovation, Climate Change
John Van Reenen
CEP, Grantham Research Institute
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