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The Review of Economic Studies is one of the most highly respected academic journals in the field of economics. It is known for publishing leading research in all areas of economics, from microeconomics to macroeconomics. The journal is published by the Oxford University Press.

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Entry and Profits In An Aging Economy: The Role Of Consumer Inertia

Gideon Bornstein

Over the past four decades, the U.S. economy has seen a decline in the share of young firms alongside a rise in the profit share of GDP. This paper explores how population aging contributes to these twin trends through a demand-side channel. The core hypothesis is that younger households exhibit lower consumer inertia—a tendency to stick with previously chosen products—than older households.

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Standard NK models find optimal inflation well below 2%, small welfare losses from business cycles and monetary policy is neutral in the long run.

In a new paper, @mirkoabbritti, @egostino and Weber show all three conclusions break with endogenous growth & DNWR.

1/5

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New paper by Altmann, Glenny, Mahlstedt, & Sebald

https://www.restud.com/the-direct-and-indirect-effects-of-online-job-search-advice/

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New paper by De Loecker & Scott

https://www.restud.com/markup-estimation-using-production-and-demand-data-an-application-to-the-us-brewing-industry/

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Next up: Amen Jalal (@amenjalal_), London School of Economics.

Amen is an Academy Scholar at the Harvard Academy and works on development, environmental, and labor economics. She will join Harvard Kennedy School in August 2027.

7/12

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