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How strong are strategic complementarities in price setting across firms? In this paper, we provide a direct empirical estimate of firm price responses to changes in prices of their competitors. We develop a general framework and an empirical identification strategy to estimate the elasticities...
Persistent link: https://www.econbiz.de/10011506815
Theory predicts sizeable exchange rate (FX) exposure for many firms. However, empirical research has not documented such exposures. To examine this discrepancy, we extend prior theoretical results to model a global firm's FX exposure and show empirically that firms pass through part of currency...
Persistent link: https://www.econbiz.de/10012906218
Current account imbalances and their sustainability are among the most debated international policy issues. Through the recently designed External Balance Assessment methodology (EBA), the IMF estimates the impact of several countries' fundamentals and policies on their current account balance,...
Persistent link: https://www.econbiz.de/10013059729
How strong are strategic complementarities in price setting across firms? In this paper, we provide a direct empirical estimate of firm price responses to changes in prices of their competitors. We develop a general framework and an empirical identification strategy to estimate the elasticities...
Persistent link: https://www.econbiz.de/10011584149
We study the role of exchange rates in industrial policy. We construct an open-economy macroeconomic framework with production externalities and show that the desirability of these policies critically depends on the dynamic patterns of externalities. When they are stronger in earlier stages of...
Persistent link: https://www.econbiz.de/10014544799
the impact of unit labor costs on exports. We use exports adjusted for their import content. We find a statistically … margin of exports ranging between -0.2 and -0.4. This result is robust to various specifications, including firm, time and … firms that are more labor-intensive having a higher elasticity of exports with respect to unit labor costs. The micro data …
Persistent link: https://www.econbiz.de/10011506796
the impact of unit labor costs on exports. We use exports adjusted for their import content. We find a statistically … margin of exports ranging between -0.2 and -0.4. This result is robust to various specifications, including firm, time and … firms that are more labor-intensive having a higher elasticity of exports with respect to unit labor costs. The micro data …
Persistent link: https://www.econbiz.de/10013040611
the impact of unit labor costs on exports. We use exports adjusted for their import content. We find a statistically … margin of exports ranging between -0.2 and -0.4. This result is robust to various specifications, including firm, time and … firms that are more labor-intensive having a higher elasticity of exports with respect to unit labor costs. The micro data …
Persistent link: https://www.econbiz.de/10011587739
currency union on German exports. Thereby, it is assumed that a withdrawal of those countries from EMU would be accompanied by … currency union on German exports would be rather small. However, since European Monetary Union as a whole is still the most …. -- German exports ; European financial crisis ; EMU withdrawal …
Persistent link: https://www.econbiz.de/10009372957
"Pursuit of an exchange rate policy that promotes the competitiveness of exports would be greatly facilitated if the … motivation of this study for Uganda was therefore to derive the equilibrium exchange rate path, determine the levels of … misalignment of the exchange rate and assess their impact on the performance of nontraditional exports. Estimating the equilibrium …
Persistent link: https://www.econbiz.de/10002705318