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This working paper analyzes the dynamics of capital allocation and its impact on productivity in Southern European countries, particularly focusing on Spain from 1999 to 2012, in the context of declining real interest rates and misallocation of resources. The authors document increasing dispersion of returns to capital across firms, a decline in total factor productivity, and present a model that links financial frictions to these phenomena.
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NBER Working Paper 21453 is a research paper published by the National Bureau of Economic Research that investigates a specific economic issue or trend.
Researchers and economists who contributed to the work presented in NBER Working Paper 21453 are required to file it.
To fill out NBER Working Paper 21453, authors must follow the specific submission guidelines provided by the NBER, including formatting, citation styles, and necessary sections.
The purpose of NBER Working Paper 21453 is to disseminate preliminary research findings to stimulate discussion and encourage further research on the topic.
NBER Working Paper 21453 must report information including the authors' names, abstract, introduction, methods, results, and conclusion of the research.
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