Kiel Working Papers, Kiel Institute for World Economics
No 915:
Price Setting in International Markets
Holger Brauer
Abstract: In this paper, an oligopolistic framework in which goods
and market characteristics can be varied parametrically, is used to explain
pass-through of prices as a reaction to exchange rate or cost changes.
Price setting is compared between different markets for the same product
and between different producers in the same market. The aim of this paper
is to account for these price differentials by analyzing the contributions
of all relevant factors in order to explain differences across sectors.
48 pages, February 1999
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