IESET.
Hypotheses·growth·national_champions_long_run_productivity_drag

Sectors dominated by national-champion firms show lower 20-year total-factor- productivity growth than comparable competitive sectors after the initial scale-up phase, in a broad panel of OECD and emerging-market economies during 1980-2020.

INCONCLUSIVEengine/runs/national_champions_long_run_productivity_drag

INCONCLUSIVE_DATA_PENDING — no treatment variable loaded; missing: ['constructed:top_3_firm_revenue_share_by_sector', 'constructed:oecd_sti_or_national_state_aid_database']

confidence cueResult card produced; verdict unclassified.

policy briefCoverage too thin

In ordinary language

Over a long period, do more market-oriented institutions translate into higher income or productivity, once the comparison looks beyond a single success story?

plain answer

This test cannot make a firm call yet. no treatment variable loaded; missing: ['constructed:top_3_firm_revenue_share_by_sector', 'constructed:oecd_sti_or_national_state_aid_database']

why it matters

Growth claims can look convincing in single success stories. This test asks whether the pattern survives a broader comparison.

how the test works

It compares 20 country or place units from 1980 to 2020, using a panel fe design, with fixed effects for country and sector and year.

what was measured
What changed
  • National champion concentration
  • State aid intensity
What we checked
  • Total factor productivity growth
  • Labour productivity growth
what this does not prove

A single test is not the whole truth. It narrows the claim under a specific sample, time period, and method. Strong policy conclusions need the pattern to survive nearby tests, alternative data, and serious objections.

verification

No evidence packet has been generated yet.

Results

engine/runs/national_champions_long_run_productivity_drag
1007550250198020002020USADEUFRAGBRJPNKORCHN
illustrative sketch · run pending
No coefficients yet. When the model fires, this chart will show total_factor_productivity_growth across 20 sampled countries over 19802020.
The shapes above are stylised — none of the lines are real data.
Placeholder for national_champions_long_run_productivity_drag. Published chart will be generated from engine/runs/national_champions_long_run_productivity_drag/chart_data.json.

Pre-registration

pre-registered
first-spec commit 5ce4495 · 2026-05-02T19:11:20Z
run generated · 2026-06-29T17:52:58Z

Sectors dominated by national-champion firms show lower 20-year total-factor- productivity growth than comparable competitive sectors after the initial scale-up phase, in a broad panel of OECD and emerging-market economies during 1980-2020.

Falsification criterion — what would disprove this

set before the run · honoured after

This hypothesis is considered falsified if:

Falsified if sectors with national-champion concentration (top-3 revenue share above 60%) do not show statistically lower TFP growth than competitive sectors (top-3 share below 40%) over 20-year windows after controlling for R&D, sector size, and trade openness.

formal test & threshold
test:      panel_fe_champion_concentration_on_tfp
threshold: [object Object]

Method

Template
panel_fe
Fixed effects
country, sector, year
Clustering
country_sector
Sample
20 countries · 19802020
Evidence type
associational

Sector-country panel FE with country, sector, and year fixed effects. Cluster at country-sector level. Robustness via IV using EU state-aid court rulings as instrument.

Data

VariableSourceTransform
total_factor_productivity_growth
outcome
pwt:rtfpnatier 3
annual_pct
labour_productivity_growth
outcome
oecd_stan:gdp_per_hour_workedtier 5
annual_pct
national_champion_concentration
treatment
constructed:top_3_firm_revenue_share_by_sectortier 5
level_pct
state_aid_intensity
treatment
constructed:oecd_sti_or_national_state_aid_databasetier 5
level_pct_gdp
sector_size
control
constructed:sector_va_sharetier 5
level_pct
r_and_d_spending
control
oecd_stan:business_rd_expendituretier 5
level_pct_va
trade_openness
control
world_bank_wdi:NE.TRD.GNFS.ZStier 2
level

ready  ·  pending  ·  reconstruct-needed

Detailed result card

Result card — national_champions_long_run_productivity_drag

Verdict: INCONCLUSIVE_DATA_PENDING — no treatment variable loaded; missing: ['constructed:top_3_firm_revenue_share_by_sector', 'constructed:oecd_sti_or_national_state_aid_database']

Pre-registration

  • Claim: Sectors dominated by national-champion firms show lower 20-year total-factor- productivity growth than comparable competitive sectors after the initial scale-up phase, in a broad panel of OECD and emerging-market economies during 1980-2020.
  • Falsification rule: Falsified if sectors with national-champion concentration (top-3 revenue share above 60%) do not show statistically lower TFP growth than competitive sectors (top-3 share below 40%) over 20-year windows after controlling for R&D, sector size, and trade openness.
  • Falsification test: panel_fe_champion_concentration_on_tfp

Estimate

  • Error: no treatment variable loaded; missing: ['constructed:top_3_firm_revenue_share_by_sector', 'constructed:oecd_sti_or_national_state_aid_database']

Variables resolved

  • pwt:rtfpna → total_factor_productivity_growth (outcome, publisher=pwt, n=6407)
  • world_bank_wdi:NE.TRD.GNFS.ZS → trade_openness (controls, publisher=world_bank_wdi, n=10714)

Variables missing data

  • oecd_stan:gdp_per_hour_worked (outcome, name=labour_productivity_growth) — vintage not on disk
  • constructed:top_3_firm_revenue_share_by_sector (treatment, name=national_champion_concentration) — vintage not on disk
  • constructed:oecd_sti_or_national_state_aid_database (treatment, name=state_aid_intensity) — vintage not on disk
  • constructed:sector_va_share (controls, name=sector_size) — vintage not on disk
  • oecd_stan:business_rd_expenditure (controls, name=r_and_d_spending) — vintage not on disk

Generated by scripts/run_panel_fe.py at 2026-06-29T17:52:58+00:00

Strongest opposing argument

Every hypothesis ships with its charitable opposing argument. The framework earns credibility by handling objections at their strongest, not weakest.

Notes

Sector-level concentration data from OECD STAN, Orbis, or national competition authorities. PWT TFP available at country level; sector-level TFP requires EU KLEMS or OECD STAN.

Authored framework. Read the transparency note.