Chaebols and firm dynamics in Korea

Sergei Guriev, Philippe Aghion and Kangchul Jo

No 13825, CEPR Discussion Papers from Centre for Economic Policy Research

Abstract: We study firm dynamics in Korea before and after the 1997-98 Asian crisis and pro-competitive reforms that reduced the dominance of chaebols. We find that in industries that were dominated by chaebols before the crisis, labor productivity and TFP of non-chaebol firms increased markedly after the reforms (relative to other industries). Furthermore, entry of non-chaebol firms increased significantly in all industries after the reform. Finally, after the crisis, the non-chaebol firms also significantly increased their patenting activity (relative to non-chaebol firms). These results are in line with a neo-Schumpeterian view of transition from a growth model based on investment in existing technologies to an innovation-based model.

Keywords: Schumpeterian growth; Chaebols; Asian crisis (search for similar items in EconPapers)
JEL-codes: L25 O43 (search for similar items in EconPapers)
Date: 2019-06
New Economics Papers: this item is included in nep-bec, nep-ino, nep-sea and nep-tid
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
https://cepr.org/publications/DP13825 (application/pdf)

Related works:
Journal Article: Chaebols and firm dynamics in Korea (2021)
Working Paper: Chaebols and Firm Dynamics in Korea (2021)
Working Paper: Chaebols and Firm Dynamics in Korea (2021)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:cpr:ceprdp:13825

Ordering information: This working paper can be ordered from
https://cepr.org/publications/DP13825

Access Statistics for this paper

More papers in CEPR Discussion Papers from Centre for Economic Policy Research 33 Great Sutton Street, London EC1V 0DX, UK.
Bibliographic data for series maintained by CEPR ().