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find export status to be positively correlated with both product market power (markups) and market power consolidated on …
Persistent link: https://www.econbiz.de/10011772937
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To serve foreign markets, firms can either export or set up a local subsidiary through horizontal Foreign Direct … Investment (FDI). The conventional proximity-concentration theory suggests that FDI substitutes for trade if distance between … countries is large, while exports become more important if scale economies in production are large. This paper investigates …
Persistent link: https://www.econbiz.de/10011378320
This paper focuses on ignored issues regarding the impact of trade reforms in transition economies. These economies are primarily characterized by a low quality of their products, large depreciations of their currencies, and a high degree of government intervention in economic activity. These...
Persistent link: https://www.econbiz.de/10011304378
Anti-dumping actions are now the trade policy of choice of developing and transition economies. To understand why these economies have increasingly applied anti-dumping laws, we build a simple theoretical model of vertical intra-industry trade and investigate the strategic incentives of...
Persistent link: https://www.econbiz.de/10011342568
We build a simple theoretical model to understand why developing and transition economieshave increasingly applied anti-dumping laws. To that end, we investigate the strategic incentivesof oligopolistic exporting firms to undertake dumping in these economies. We show that dumpingmay be due to...
Persistent link: https://www.econbiz.de/10011342572
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Firms signal high quality through high prices even if the market structure is highly competitive and price competition is severe. In a symmetric Bertrand oligopoly where products may differ only in their quality, production cost is increasing in quality and the quality of each firm’s product...
Persistent link: https://www.econbiz.de/10011372971
We consider an oligopolistic market where firms compete in price and quality and where consumers are heterogeneous in knowledge: some consumers know both the prices and quality of the products offered, some know only the prices and some know neither. We show that two types of signalling...
Persistent link: https://www.econbiz.de/10011376636