This paper presents an overview of research that uses firm-level data. The paper organizes the various areas of inquiry where firm-level data are used under two broad headings: The first is the analysis of productivity, its evolution and determinants, including relation between productivity, trade and trade policy. The second general area relates to enterprise financial behavior, patterns of external finance across firms, and especially the existence and severity of financial constraints faced by different types of firms, and their impact on investment behavior. The paper also points out that there is an emerging literature that examines the relation between financial constraints and productivity. The paper provides some thoughts on research questions that would be fruitful for the ERF to address, discusses what sort of data can be used to address them and documents availability of firm-level data in the ERF Region.
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