Size Income Relation Across States for Tradables vs. Non-tradables
Notes: The data is from five rounds of the ASI and SUM. The table reports regression results for the share of employment in plants of size 5 or less in industry ‘i’ in state ‘s’ at time ‘t’ on log per-capita state NDP interacted with a dummy which takes value 1 if industry ‘i’ is classified as a tradable industry. Column 1 classifies an industry as tradable if the Herfindahl Index across US counties for the industry was above the median of Herfindahl Indexes, and non-tradable if it was below the median. Column 2 uses top and bottom quartiles of the Herfindahl Index as cutoffs. Column 3 and 4 use the tradability index based on Indian exports and imports and uses the median and the top and bottom quartiles as cutoffs respectively. All regressions include fixed effects for industry interacted with time and state interacted with time. Each observation is weighted by the share of observations in the state-industry cell out of the total observations in the ASI and SUM combined for the given year. Standard errors are clustered at the state level. *p<0.1.
|Dependent Variable: share of employment in <=5 in industry ‘i’, state ‘s’, time ‘t’|