A nonparametric panel data approach to the cyclical dynamics of price-cost margins

Arbeitspapier

By using nonparametric and panel data econometrics, this paper re-assesses the effect of both the current level of economic activity and of future expected demand on the dynamics of the price mark-up over marginal cost in US manufacturing industries from 1958 to 1996. Consistently with previous results, the current level of economic activity has a negative impact on the mark-up and expectations of future demand a positive one. Differences between consumer and producer goods and between more and less competitive sectors play a minor role. Differences between durable and nondurable goods, instead, find more empirical support.

Object Details

• Language: Englisch

References and Relationships

• Bibliographic citation: Series: Kiel Working Paper ; No. 1580

Classification and Topics

• Classification: Wirtschaft ; Industry Studies: Manufacturing: General ; Industrial Organization and Macroeconomics: Industrial Structure and Structural Change; Industrial Price Indices ; Business Fluctuations; Cycles
• Subject: Mark-up ; cyclical dynamics ; durable goods ; non-durable goods ; nonparametric econometrics ; panel data econometrics

Contributors, Places and Time

• Event: Geistige Schöpfung
• (who): Vaona, Andrea
• Event: Veröffentlichung
• (who): Kiel Institute for the World Economy (IfW)
• (where): Kiel
• (when): 2010

Further information

• Handle: http://hdl.handle.net/10419/30036
• Last update: 10.03.2025, 11:45 AM CET