The COVID-19 pandemic disrupted the world economy in 2020. As of December 23, 2020 the World Health Organization (WHO) reports more than 76 million confirmed cases of COVID-19 and over 1.7 million deaths worldwide. At the intersection of the COVID-19 pandemic and the global economy, numerous...

We examine how and why pre-existing vertical scope may cause differences in product market exit rates after sudden and exogenous decreases in demand. Our empirical context is the U.S. medical diagnostic imaging industry (2004-2009), wherein a major Medicare reform created a derived demand shock...