Research Programs: Raising Industrial and Firm Productivity

Firm Dynamics, Industry, and Macroeconomy

Project Leader/Sub-Leader


HOSONO Kaoru (Faculty Fellow)



The aim of this project is to pin down key determinants of firm dynamics, i.e., entry, growth, and exit, and its macroeconomic consequences through resource (mis)allocation. Specifically, we first focus on some institutional changes such as corporate tax reforms, social security system reforms, changes in labor market policies, and loosening of entry restrictions, and examine their effects on firm dynamics and thereby on the aggregate economy. Second, we explore the mechanism of firm dynamics by examining the effects of manager turnover, the dynamics of rapidly growing firms, and the determinants of malpractices by family-owned firms, and the forecast of firm activities. Furthermore, we investigate the effects of globalization on local labor markets and firms’ pricing behavior.

February 1, 2023 - January 31, 2026

(During the research project period, the research activity period is set from February 1, 2023 to July 31, 2025, and the data usage reporting period is set from August 1, 2025 to January 31, 2026.)

Major Research Results


RIETI Discussion Papers