Loecker, Jan De; Goldberg, Pinelopi K.; Khandelwal, Amit K. - Griswold Center for Economic Policy Studies, Department … - 2012
This paper examines how prices, markups and marginal costs respond to trade liberalization. We develop a framework to estimate markups from production data with mult-product firms. This apporoach does not require assumptions on the market structure or demand curves faced by the firms, nor...