This paper develops a model of post-liberalization price competition between airlines on the route Rio de Janeiro - São Paulo. The intense price competition episode culminated in the rupture of a thirty-nine year-old cooperative structure - the air shuttle service cartel. By modeling and...

This paper investigates the existence of asymmetric transmission from industrial costs to prices (IPA/FGV) in Brazil from 1996 to 2014. We construct cost indices based on intermediate consumption of industrial activities from the National Accounts (SCN/IBGE). The paper estimates symmetric and...

The aim of this paper is to discuss the impact of costs on industrial inflation in Brazil. Assuming that inflation is mainly cost-push, this paper estimates the exchange rate pass-through on industrial prices. Based on Kalecki’s price equation, the paper explores data from the producer price...