Endogenous Entry, Product Variety, and Business Cycles
构建了一个分析宏观经济波动的框架，将生产者和产品数量的内生决定纳入经济周期研究，发现进入的滞后反应是重要的内生传导机制，并复现了经济周期的若干特征。
This paper builds a framework for the analysis of macroeconomic fluctuations that incorporates the endogenous determination of the number of producers and products over the business cycle. Economic expansions induce higher entry rates by prospective entrants subject to sunk investment costs. The sluggish response of the number of producers generates a new and potentially important endogenous propagation mechanism for business cycle models. The return to investment determines household saving decisions, producer entry, and the allocation of labor across sectors. Our framework replicates several features of business cycles and predicts procyclical profits even for preference specifications that imply countercyclical markups.