L. Fontanelli, M. Napoletano and A. Secchi, 2025, "Rethinking volatility scaling in firm growth"
Presented at: WEHIA 2022, EAEPE 2022, CEF 2023, EARIE 2023, IEA 2026
R&R on RAND Journal of Economics
Available at: https://papers.ssrn.com/sol3/papers.cfm?abstract_id=5399682
A. Kaliyeva, L. Fontanelli, M. Guerini, L. Nesta and E. Verdolini, 2026, "Estimating Latent Thresholds from Binary Choices: A Method with an Application to Artificial Intelligence Adoption"
Presented at: DRUID26, 28th Applied Economics Meeting, International Association for Applied Econometrics Conference 2026 and European Association of Labour Economists
Submitted
Available upon request
We develop a framework to estimate latent participation thresholds from binary choices and translate them into the adjustments required for participation. Participation occurs when an observed attribute exceeds an agent-specific threshold drawn from a parametric distribution whose parameters depend on observable characteristics. We select among competing parametric distributions using Vuong tests. Inverting the expected threshold yields agent-specific adjustment requirements. For artificial intelligence adoption by French firms, we find that most firms lie below their workforce threshold. Under our preferred scenario, with complementary digital investments and technical progress, latent demand for ICT engineers reaches about 63,000 full-time equivalents.
F. Calvino and L. Fontanelli, 2023, "A portrait of AI adopters across countries"
Media coverage: VoxEU Column
Available at: https://www.oecd-ilibrary.org/science-and-technology/a-portrait-of-ai-adopters-across-countries_0fb79bb9-en