Professor Martina Kirchberger has published a new article in VoxDev with Keelan Beirne (Princeton University).
The study has two main takeaway messages for policymakers: first, our analysis highlights that certain cement firms use their market power to generate excessive profits. Second, these profits are an impediment to overall investment and growth in the broader economy. As countries scale up investment, policymakers may want to pay particular attention to distortions in key sectors that are involved in the production of capital and the role that competition policy can play in removing these distortions.