Precautionary Pricing and Markup Cyclicality
Why are markups cyclical, and why does their cyclicality vary across firms, sectors, and business cycle episodes? This paper develops a theory of pricing under uncertainty in which risk-averse firms set prices before costs and demand are realized.
Apr 28, 2026
The Micro-Aggregated Profit Share
How much has market power increased in the United States in the last sixty years? And how did the rise in market power affect aggregate profits? [Updated version]
Apr 13, 2026