Skip to main content

Pricing to market of Italian exporting firms

Buy Article:

$51.63 plus tax (Refund Policy)

Abstract:

This article investigates the pricing-to-market (PTM) behaviour of Italian exporting firms, using quarterly survey data by sector and by region over the period 1999q1 to 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 to 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.

Document Type: Research Article

DOI: http://dx.doi.org/10.1080/00036840601032219

Affiliations: 1: Institute for Studies and Economic Analyses (ISAE), Rome, Italy 2: University of Rome 'Tor Vergata', Rome, Italy,Institute for Studies and Economic Analyses (ISAE), Rome, Italy

Publication date: May 1, 2009

More about this publication?
routledg/raef/2009/00000041/00000012/art00009
dcterms_title,dcterms_description,pub_keyword
6
5
20
40
5

Access Key

Free Content
Free content
New Content
New content
Open Access Content
Open access content
Subscribed Content
Subscribed content
Free Trial Content
Free trial content
Cookie Policy
X
Cookie Policy
ingentaconnect website makes use of cookies so as to keep track of data that you have filled in. I am Happy with this Find out more