Import prices typically change by a smaller proportion than the exchange rate between the exporting and importing country. Recent research indicates that common-currency relative prices for similar goods exported to different markets are highly correlated with exchange rates between those...

This paper develops an approach to measuring the intensity of competition in international markets. The method measures the degree of "outside" competition faced by exporters located in one source country from firms located outside the source country. We use the elasticity of price and quantity...

How rigid are producer prices? A longstanding conventional wisdom among economists holds that producer prices are more rigid than, and so play less of an allocative role than do, consumer prices. In the 1987-2008 microdata collected by the U.S. Bureau of Labor Statistics for the producer price...

This paper examines how prices, markups and marginal costs respond to trade liberalization. We develop a framework to estimate markups from production data with multi-product firms. This approach does not require assumptions on the market structure or demand curves faced by firms, nor...