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Technology and Resilience / Diego A. Comin, Marcio Cruz, Xavier Cirera, Kyung Min Lee, Jesica Torres.

NBER Working papers Available online

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Format:
Book
Author/Creator:
Comin, Diego A.
Contributor:
National Bureau of Economic Research.
Cruz, Marcio.
Cirera, Xavier.
Lee, Kyung Min.
Torres, Jesica.
Series:
Working Paper Series (National Bureau of Economic Research) no. w29644.
NBER working paper series no. w29644
Language:
English
Physical Description:
1 online resource: illustrations (black and white);
Place of Publication:
Cambridge, Mass. National Bureau of Economic Research 2022.
Summary:
This paper estimates the impact of technology sophistication pre-COVID-19 on the performance of firms during the early stages of the pandemic. We exploit a unique data covering firms from Brazil, Senegal, and Vietnam using a treatment effect mediation framework to decompose the results into a direct and an indirect effect. Increasing pre-pandemic technology sophistication by one standard deviation is associated with 3.8pp higher sales. Both effects are positive, but the direct effect is about 5 times larger than the indirect effect. The total effect on sales is markedly nonlinear with significantly smaller estimates of the reduction in sales for firms with more sophisticated pre-pandemic technology. Our results are robust to different measures of digital responses and matching estimators.
Notes:
Print version record
January 2022.

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