Imports and the structure of retail markets

Horst Raff and Nicolas Schmitt

No 2011-05, Economics Working Papers from Christian-Albrechts-University of Kiel, Department of Economics

Abstract: We construct a model of trade with heterogeneous retailers to examine the effects of trade liberalization on retail market structure, imports and social welfare. We are especially interested in investigating the transmission of lower import prices into consumer prices and the effects of retail market regulation. The paper shows that changes in import prices may have large effects on consumer prices and import volumes when changes in retail market structure are taken into account, and that restrictions on retailing, as they occur in several countries, may significantly alter this transmission mechanism by reducing imports and raising consumer prices.

Keywords: International trade; retailing; firm heterogeneity (search for similar items in EconPapers)
JEL-codes: F12 L11 (search for similar items in EconPapers)
Date: 2011
New Economics Papers: this item is included in nep-bec, nep-com, nep-int and nep-reg
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (6)

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Related works:
Journal Article: Imports and the structure of retail markets (2012)
Journal Article: Imports and the structure of retail markets (2012)
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Persistent link: https://EconPapers.repec.org/RePEc:zbw:cauewp:201105

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