Download full text
(892.5Kb)
Citation Suggestion
Please use the following Persistent Identifier (PID) to cite this document:
https://nbn-resolving.org/urn:nbn:de:0168-ssoar-241140
Exports for your reference manager
Pricing to market of Italian exporting firms
[journal article]
Abstract This paper investigates the pricing-to-market (PTM) behaviour of Italian exporting firms, using quarterly survey data by sector and by region over the period 1999q1-2005q2. A partial equilibrium imperfect competition model provides the structure according to which the orthogonality of structural sho... view more
This paper investigates the pricing-to-market (PTM) behaviour of Italian exporting firms, using quarterly survey data by sector and by region over the period 1999q1-2005q2. A partial equilibrium imperfect competition model provides the structure according to which the orthogonality of structural shocks is derived. Impulse-response analysis shows non-negligible reactions of export-domestic price margins to unanticipated changes in cost competitiveness and in foreign and domestic demand levels, even though these effects appear to be of a transitory nature. For the period 1999-2001 a typical PTM behaviour emerges, while during the most recent years favourable foreign demand conditions allowed firms to increase their export-domestic price margins in face of a strong deterioration of their cost competitiveness. Macroeconomic implications of the observed PTM behaviour are also discussed.... view less
Classification
Political Economy
Free Keywords
pricing to market; survey data; panel-VAR models
Document language
English
Publication Year
2009
Page/Pages
p. 1543-1562
Journal
Applied Economics, 41 (2009) 12
DOI
https://doi.org/10.1080/00036840601032219
Status
Postprint; peer reviewed
Licence
PEER Licence Agreement (applicable only to documents from PEER project)