@article {Basile:May :0003-6846:1543,
	author = "Basile, Roberto and Nardis, Sergio de and Girardi, Alessandro",
	title = "Pricing to market of Italian exporting firms",
	journal = "Applied Economics",
	volume = "41",
	number = "12",
	year = "May ",
	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.",
	pages = "1543-1562",
	url = "http://www.ingentaconnect.com/content/routledg/raef/2009/00000041/00000012/art00009",
	doi = "doi:10.1080/00036840601032219"
}