Entry Liberalization and Inequality in Industrial Performance
研究印度1985年取消工业许可证制度如何影响企业绩效不平等，发现技术先进企业和制度环境好的地区更积极应对，导致行业内不平等加剧。
Industrial delicensing, which began in 1985 in India marked a discrete break from a past of centrally planned industrial development.Similar liberalization episodes are taking place across the globe.We develop a simple Schumpeterian growth model to understand how firms respond to the entry threat imposed by liberalization.The model emphasizes that firm responses, even within the same industrial sector, are likely to be heterogeneous leading to an increase in within industry inequality.Technologically advanced firms and those located in regions with pro-business institutions are more likely to respond to the threat of entry by investing in new technologies and production processes.Empirical analysis using a panel of three-digit stateindustry data from India for the period 1980-1997 confirms that delicensing led to an increase in within industry inequality in industrial performance.