NATIONAL BUREAU OF ECONOMIC RESEARCH
NATIONAL BUREAU OF ECONOMIC RESEARCH

A Theory of Firm Decline

Gian Luca Clementi, Thomas F. Cooley, Sonia Di Giannatale

NBER Working Paper No. 15192
Issued in July 2009

---- Acknowledgements -----

We are grateful to Dave Backus, Heski Bar-Isaac, Alberto Bisin,Andre De Souza, Kose John, Boyan Jovanovic, Claudio Loderer, Bob Lucas, Narayana Kocherlakota and Tom Sargent, as well seminar attendants at the Minneapolis Fed, NYU, the 2008 Midwest Macro Conference in Philadelphia, the 2008 meetings of the Society for Economic Dynamics (Cambridge, MA) and European Economic Association (Milan), and the 2009 Econometric Society Meeting in Boston for their comments and suggestions. The views expressed herein are those of the author(s) and do not necessarily reflect the views of the National Bureau of Economic Research.

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