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https://doi.org/10.2139/ssrn.2256892
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Cite Journal: SSRN Electronic Journal |  Publication Date: Feb 18, 2014 |
 Citations: 3 |
Evidences from structural VAR show that new business formation positively co-moves with output under news shocks. The Jaimovich-Rebelo model augmented with firm dynamics can explain the empirical findings. The key assumption is endogenous survival rates for new entrants.
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