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This paper quantifies the effect of the government-controlled appreciation of the Chinese renminbi (RMB) vis-à-vis the USD from 2005 to 2008 on the prices charged by US producers. As the RMB during that time was pegged to a basket of currencies, the empirical strategy must account for the fact...
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Import competition from China is pervasive in the sense that for many good categories, the competitive environment that … US firms face in these markets is strongly driven by the prices of Chinese imports, and so is their pricing decision …
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