This paper uses newly available firm-level tax data to evaluate the market structure in South African manufacturing sectors in the period 2010-12. To describe the market structure we compute markups for South African manufacturing firms and concentration indexes for 4-digit manufacturing...

In this paper we explore the link between the intensity of product market competition and inflation rates across EU countries and sectors. We consider long-term averages of inflation rates in order to remove the cyclical behavior of inflation over time and as alternative proxies of competition...

We consider a firm who faces business risk due to stochastic goods market outcomes and identify two risk channels of pricing and production. One channel is based on the passive risk consideration, through which the producer raises prices to abide by riskier business and thereby associates higher...

Price inflation in the euro area has been stable and low since the Global Financial Crisis, despite notable changes in output and unemployment. We show that an increasing share of high markup firms is part of the explanation of why inflation remained stubbornly stable and low in the euro area...