EconPapers    
Economics at your fingertips  
 

Mark-up and Cost Dispersion across Firms: Direct Evidence from Producer Surveys in Pakistan

David Atkin (), Azam Chaudhry, Shamyla Chaudry, Amit Khandelwal and Eric Verhoogen ()

No 10366, CEPR Discussion Papers from C.E.P.R. Discussion Papers

Abstract: Researchers typically invoke theoretical assumptions to estimate mark-ups. Instead, we directly obtain mark-ups by surveying Pakistani soccer-ball producers. We document six facts: (1) Mark-ups are more dispersed than costs; (2) Mark-ups and costs increase with firm size; (3) The mark-up elasticity with respect to size exceeds the cost elasticity; (4) Costs increase with size because larger firms use higher-quality inputs; (5) Larger firms charge higher mark-ups because they have higher production shares of high-quality balls that carry higher mark-ups, and because they charge higher mark-ups conditional on ball type; (6) Correlations suggest marketing efforts are important for generating higher mark-ups.

Keywords: costs; markups; soccer balls (search for similar items in EconPapers)
JEL-codes: F12 L11 O14 (search for similar items in EconPapers)
Date: 2015-01
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (19) Track citations by RSS feed

Downloads: (external link)
http://www.cepr.org/active/publications/discussion_papers/dp.php?dpno=10366 (application/pdf)
CEPR Discussion Papers are free to download for our researchers, subscribers and members. If you fall into one of these categories but have trouble downloading our papers, please contact us at subscribers@cepr.org

Related works:
Journal Article: Markup and Cost Dispersion across Firms: Direct Evidence from Producer Surveys in Pakistan (2015) Downloads
Working Paper: Mark-up and Cost Dispersion across Firms: Direct Evidence from Producer Surveys in Pakistan (2015) Downloads
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:cpr:ceprdp:10366

Ordering information: This working paper can be ordered from
http://www.cepr.org/ ... rs/dp.php?dpno=10366

Access Statistics for this paper

More papers in CEPR Discussion Papers from C.E.P.R. Discussion Papers Centre for Economic Policy Research, 33 Great Sutton Street, London EC1V 0DX.
Bibliographic data for series maintained by ().

 
Page updated 2019-08-03
Handle: RePEc:cpr:ceprdp:10366