What We Know About the Rise in Markups

In my research and newsletters, I’ve written about how to interpret markups—mostly on the theory side. I haven’t devoted much space explaining the empirics. How high are markups in the United States? Are they rising? If so, by how much?

This post seeks to answer those questions. I’m writing it after reading a new paper by Nathan Miller on “Industrial Organization and The Rise of Market Power,” which is the most recent literature review. Miller focuses primarily on the markup literature from an industrial-organization (IO) perspective. I’ll have more to say about that later. The paper helped me gather my thoughts, but the interpretations and arguments below are all mine. So read this post, and then read Miller.

Read the full piece here.