Measuring the Intensity of Competition in Export Markets

Pinelopi Goldberg () and Michael M. Knetter

No 5226, NBER Working Papers from National Bureau of Economic Research, Inc

Abstract: This paper develops an approach to measuring the intensity of competition in international markets. The method measures the degree of 'outside' competition faced by exporters located in one source country from firms located outside the source country. We use the elasticity of price and quantity to exchange rate shocks, which shift the relative costs of producers from a particular source country, to calculate our measure of outside competition. The measures are estimated using panel data on exports of U.S. linerboard and German beer to a variety of destination markets. The destination-specific panel data allow comparisons of outside competition across destination markets.

JEL-codes: F14 L13 (search for similar items in EconPapers)
Date: 1995-08
Note: ITI
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