Go to JKU Homepage
Department of Economics.
What's that?

Institutes, schools, other departments, and programs create their own web content and menus.

To help you better navigate the site, see here where you are at the moment.

Economics Research Seminar

Adam Szeidl (CEU)

Adam Szeidl

Firm-to-firm referrals

Abstract: We make randomized firm-to-firm referrals between 700 supplier and client firms in the industry producing the Chinese writing brush. Subsidized referrals lead to subsequent transactions and a partial crowding out of prior partners; information-only referrals have no effect. The referrals increase revenue, profit, and hours worked in supplier firms and growth-oriented client firms. Treated suppliers increase product quality, while treated clients expand product variety into higher-quality products, suggesting that the referrals enable complementary upgrading. Treated firms increase beliefs about the value of partners, search for partners, and the number of non-referred partners, suggesting that pessimistic beliefs is a key partnering friction. The referrals generate very large private and social returns.

Event

Time & date

December 11, 2024

16:15 - 17:15 PM

Add to my calendar

Location

K127A

Contact

Department of Economics