Market Structure and Cost Pass-Through in Retail

Gee Hee Hong and Nicholas Li
Additional contact information
Gee Hee Hong: International Monetary Fund

The Review of Economics and Statistics, 2017, vol. 99, issue 1, 151-166

Abstract: We examine the extent to which vertical and horizontal market structure can together explain incomplete retail pass-through. To answer this question, we use scanner data from a large U.S. retailer to estimate product level pass-through for three vertical structures: national brands, private label goods not manufactured by the retailer, and private label goods manufactured by the retailer. Our approach circumvents issues associated with internal firm prices and demonstrates that accounting for horizontal market structure is important for measuring the effects of vertical integration and reduced double marginalization on pass-through.

Date: 2017
References: Add references at CitEc
Citations: View citations in EconPapers (47)

Downloads: (external link)
http://www.mitpressjournals.org/doi/pdf/10.1162/REST_a_00560 (application/pdf)
Access to full text is restricted to subscribers.

Related works:
Working Paper: Market Structure and Cost Pass-Through in Retail (2013)
Working Paper: Market Structure and Cost Pass-Through in Retail (2013)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:tpr:restat:v:99:y:2017:i:1:p:151-166

Ordering information: This journal article can be ordered from
https://mitpressjour ... rnal/?issn=0034-6535

Access Statistics for this article

The Review of Economics and Statistics is currently edited by Pierre Azoulay, Olivier Coibion, Will Dobbie, Raymond Fisman, Benjamin R. Handel, Brian A. Jacob, Kareen Rozen, Xiaoxia Shi, Tavneet Suri and Yi Xu

More articles in The Review of Economics and Statistics from MIT Press
Bibliographic data for series maintained by The MIT Press ().