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IO for exports(s)

Monika Mrázová and J. Peter Neary

International Journal of Industrial Organization, 2020, vol. 70, issue C

Abstract: We provide an overview and synthesis of recent work on models of monopolistic competition with heterogeneous firms in international trade, paying particular attention to competition effects, pass-through, selection effects, and linking distributions of firm characteristics and outcomes. A recurring theme is that CES preferences are extremely convenient for deriving analytic results, but also extremely restrictive in their theoretical and empirical implications. We introduce the class of “constant-response demand functions” to describe some related families of demand functions that provide a unifying principle for much recent work that explores alternatives to CES demands.

Keywords: Heterogeneous firms; Pass-Through; Quantifying effects of globalization; Super- and sub-convexity; Supermodularity (search for similar items in EconPapers)
JEL-codes: F12 F23 L11 (search for similar items in EconPapers)
Date: 2020
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Related works:
Working Paper: IO for Export(s) (2019) Downloads
Working Paper: IO for Export(s) (2019) Downloads
Working Paper: IO FOR EXPORT(S) (2019) Downloads
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Persistent link: https://EconPapers.repec.org/RePEc:eee:indorg:v:70:y:2020:i:c:s016771871930089x

DOI: 10.1016/j.ijindorg.2019.102561

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