• Medientyp: E-Artikel
  • Titel: Markup and Cost Dispersion across Firms: Direct Evidence from Producer Surveys in Pakistan
  • Beteiligte: Atkin, David; Chaudhry, Azam; Chaudry, Shamyla; Khandelwal, Amit K.; Verhoogen, Eric
  • Erschienen: American Economic Association, 2015
  • Erschienen in: American Economic Review, 105 (2015) 5, Seite 537-544
  • Sprache: Englisch
  • DOI: 10.1257/aer.p20151050
  • ISSN: 0002-8282
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  • Beschreibung: <jats:p> 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: (i) Mark-ups are more dispersed than costs; (ii) Mark-ups and costs increase with firm size; (iii) The mark-up elasticity with respect to size exceeds the cost elasticity; (iv) Costs increase with size because larger firms use higher-quality inputs; (v) 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; (vi) Correlations suggest marketing efforts are important for generating higher mark-ups. </jats:p>