This study evaluates the role market competition plays in determining inflation based on sector-level data from OECD … countries. In theory, trade openness can affect inflation through changes in market competitiveness and productivity … of market competition. This study shows that inflation decreases with greater market competitiveness even after …

to a product's tradability. For individual products, LOP deviations are affected by their own inflation rates and, to a … lesser extent, by aggregate inflation, output variations, and monetary variability. Interestingly, the trend behavior remains …