Equation 13 · Part 3 · Selection Accounting: The Price Equation Runs the Economy
subscript
subscript
What this part means
The lower label selects a particular version, component, or indexed member of the quantity. For example, x₀ and xₜ can be values at different positions.
Its job in the formula
A subscript distinguishes a version, component, step, or member of a quantity. It does not automatically mean multiplication.
Full expression→subscript→Article meaning
The passage around this formula
The paper checks this with a seeded simulation rather than leaving it asymptotic. A competitive industry of 400 comparably sized firms (HHI = 0.0031, 321 ) and a concentrated industry of 40 Zipf-distributed firms (HHI = 0.1006, 10 ) were each run through 20,000 replicate neutral periods with no selection whatsoever operating. A reading of half a log point of apparent “selection” — the kind of magnitude an Olley-Pakes-style decomposition would report without hesitation as meaningful reallocation — occurred in 4.0 percent of neutral periods in the competitive industry and in 49.7 percent of neutral periods in the concentrated one. In an industry with an effective…
Learn the underlying idea
A subscript is a label attached below a symbol. It often selects a time step, component, category, or member of a sequence.
Open the illustrated subscripts: which member of a family? guide →
Sources cited in the article section
These citations provide research context; check each source for the exact claim it supports.