How large are double markups?

Elisa Duran-Micco and Jeffrey Perloff

International Journal of Industrial Organization, 2022, vol. 85, issue C

Abstract: Because prices exceed marginal costs in many upstream and downstream industries, downstream prices often reflect a double markup. This paper estimates the size of double markups across many industries accounting for direct and indirect upstream markups. The double markups in many U.S. manufacturing industries are significant because of large upstream and downstream markups and increasing returns to scale.

Keywords: Double markup; Market pricing; Consumer surplus (search for similar items in EconPapers)
JEL-codes: D24 D43 D57 L12 L60 (search for similar items in EconPapers)
Date: 2022
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Citations: View citations in EconPapers (1)

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Working Paper: How Large Are Double Markups?By (2020)
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Persistent link: https://EconPapers.repec.org/RePEc:eee:indorg:v:85:y:2022:i:c:s0167718722000613

DOI: 10.1016/j.ijindorg.2022.102885

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