The thesis is organized as follows. Chapter 2 contains a survey of the three most in‡fluential models on fi…rm heterogeneity and of the most important empir

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Finite mixture distributions are a weighted average of a finite number of distributions. The latter are usually called the mixture components. The weights are u

Information is crucial to make good decisions, but obtaining and providing information often comes at a cost. Consumers and firms both need to balance these cos