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dividing observed prices by the estimated markups. We use India's trade liberalization episode to examine how firms adjust …
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dividing observed prices by the estimated markups. We use India's trade liberalization episode to examine how firms adjust …
Persistent link: https://www.econbiz.de/10012460731
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"We show that an ostensibly disparate set of stylized facts regarding firm pricing behavior can arise in a Ricardian model with Bertrand competition. Generalizing the Bernard, Eaton, Jenson, and Kortum (2003) model allows firms' markups over marginal cost to fall under trade liberalization, but...
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We show that an ostensibly disparate set of stylized facts regarding firm pricing behavior can arise in a Ricardian model with Bertrand competition. Generalizing the Bernard, Eaton, Jenson, and Kortum (2003) model allows firms' markups over marginal cost to fall under trade liberalization, but...
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