Department of Economics and Business Economics

Exporter Price Premia?

Research output: Working paperResearch

Standard

Exporter Price Premia? / Jäkel, Ina Charlotte; Sørensen, Allan.

Aarhus : Institut for Økonomi, Aarhus Universitet, 2017.

Research output: Working paperResearch

Harvard

Jäkel, IC & Sørensen, A 2017 'Exporter Price Premia?' Institut for Økonomi, Aarhus Universitet, Aarhus.

APA

Jäkel, I. C., & Sørensen, A. (2017). Exporter Price Premia? Aarhus: Institut for Økonomi, Aarhus Universitet. Economics Working Papers, No. 2017-07

CBE

Jäkel IC, Sørensen A. 2017. Exporter Price Premia?. Aarhus: Institut for Økonomi, Aarhus Universitet.

MLA

Jäkel, Ina Charlotte and Allan Sørensen Exporter Price Premia?. Aarhus: Institut for Økonomi, Aarhus Universitet. (Economics Working Papers; Journal number 2017-07). 2017., 38 p.

Vancouver

Jäkel IC, Sørensen A. Exporter Price Premia? Aarhus: Institut for Økonomi, Aarhus Universitet. 2017 Sep 7.

Author

Jäkel, Ina Charlotte ; Sørensen, Allan. / Exporter Price Premia?. Aarhus : Institut for Økonomi, Aarhus Universitet, 2017. (Economics Working Papers; No. 2017-07).

Bibtex

@techreport{674df84fa63b497d86b15231d4046878,
title = "Exporter Price Premia?",
abstract = "This paper provides new evidence on manufacturing firms' output prices: in Denmark, on average, exported varieties are sold at a lower price (i.e. a negative exporter price premium) relative to only domestically sold varieties. This finding stands in sharp contrast to previous studies, which have found positive exporter price premia. We also document that the exporter price premium varies substantially across products (both in terms of sign and magnitude). We show that in a standard heterogeneous firms model with heterogeneity in quality as well as production efficiency there is indeed no clear-cut prediction on the sign of the exporter price premium. However, the model unambiguously predicts a negative exporter price premium in terms of quality-adjusted prices, i.e. prices per unit of quality. This prediction is broadly borne out in the Danish data: while the magnitude of the premium varies across products, its sign is (nearly) always negative.",
keywords = "Exporters, Pricing, Exporter price premia, Firm-level data",
author = "J{\"a}kel, {Ina Charlotte} and Allan S{\o}rensen",
year = "2017",
month = "9",
day = "7",
language = "English",
publisher = "Institut for {\O}konomi, Aarhus Universitet",
type = "WorkingPaper",
institution = "Institut for {\O}konomi, Aarhus Universitet",

}

RIS

TY - UNPB

T1 - Exporter Price Premia?

AU - Jäkel, Ina Charlotte

AU - Sørensen, Allan

PY - 2017/9/7

Y1 - 2017/9/7

N2 - This paper provides new evidence on manufacturing firms' output prices: in Denmark, on average, exported varieties are sold at a lower price (i.e. a negative exporter price premium) relative to only domestically sold varieties. This finding stands in sharp contrast to previous studies, which have found positive exporter price premia. We also document that the exporter price premium varies substantially across products (both in terms of sign and magnitude). We show that in a standard heterogeneous firms model with heterogeneity in quality as well as production efficiency there is indeed no clear-cut prediction on the sign of the exporter price premium. However, the model unambiguously predicts a negative exporter price premium in terms of quality-adjusted prices, i.e. prices per unit of quality. This prediction is broadly borne out in the Danish data: while the magnitude of the premium varies across products, its sign is (nearly) always negative.

AB - This paper provides new evidence on manufacturing firms' output prices: in Denmark, on average, exported varieties are sold at a lower price (i.e. a negative exporter price premium) relative to only domestically sold varieties. This finding stands in sharp contrast to previous studies, which have found positive exporter price premia. We also document that the exporter price premium varies substantially across products (both in terms of sign and magnitude). We show that in a standard heterogeneous firms model with heterogeneity in quality as well as production efficiency there is indeed no clear-cut prediction on the sign of the exporter price premium. However, the model unambiguously predicts a negative exporter price premium in terms of quality-adjusted prices, i.e. prices per unit of quality. This prediction is broadly borne out in the Danish data: while the magnitude of the premium varies across products, its sign is (nearly) always negative.

KW - Exporters, Pricing, Exporter price premia, Firm-level data

M3 - Working paper

BT - Exporter Price Premia?

PB - Institut for Økonomi, Aarhus Universitet

CY - Aarhus

ER -