报告题目：Climate Change and Market Power
报 告 人：李善军 教授（康奈尔大学）
主 持 人：黄季焜 教授
报告时间：2025年5月21日 星期三 15:00-16:30
报告地点：北京大学王克桢楼107
报告人简介
Shanjun Li is a Professor of Applied Economics and Policy, and he holds the Kenneth L. Robinson Chair in the Dyson School of Applied Economics and Management at Cornell University. His research areas include environmental and energy economics, urban and transportation economics, empirical industrial organization, and Chinese economy. His recent research examines pressing sustainability issues in China and their global implications in order to inform evidence-based policymaking.
He serves as the Director of the Cornell Institute for China Economic Research (CICER), and a co-editor for the International Journal of Industrial Organization and the Journal of Public Economics. He is a research associate at the National Bureau of Economic Research (NBER) and a university fellow at Resources for the Future (RFF).
报告内容
Using establishment-level data from Orbis for the period 2000–2020, we examine the effects of extreme temperature shocks on industry market power across 12 European countries. Our analysis shows that temperature extremes reduce firm productivity, with significant heterogeneity across firms. Small firms experience larger productivity declines, leading to a reallocation of market share toward larger firms. As a result, temperature shocks increase industry concentration and aggregate markups. To quantify the welfare costs arising from both the productivity loss and the increase in market power, we develop an equilibrium model of heterogeneous firms with a variable elasticity of substitution that endogenizes markups. Based on the estimated marginal effects of temperature shocks on firm productivity and markups, the model suggests that temperature shocks during 2000–2020 resulted in a welfare loss equivalent to 0.129 percent of manufacturing and construction sector GDP in Europe, with substantial variation across countries. A model that does not endogenize markups would produce incorrect magnitudes and in some cases, even incorrect directions of welfare changes. Our findings underscore the importance of incorporating firm-level heterogeneity and market power into climate impact assessment.