The Balassa–Samuelson effect and pricing-to-market: The role of strategic complementarity

C-Tier
Journal: Economics Letters
Year: 2015
Volume: 126
Issue: C
Pages: 156-158

Score contribution per author:

0.503 = (α=2.01 / 2 authors) × 0.5x C-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

Combining Balassa–Samuelson effects with strategic complementarities between prices of tradables and non-tradables yields a novel determinant of tradables’ prices. A larger productivity difference between tradables and non-tradables raises the non-tradables’ price. With strategic complementarities, producers of tradables also increase prices.

Technical Details

RePEc Handle
repec:eee:ecolet:v:126:y:2015:i:c:p:156-158
Journal Field
General
Author Count
2
Added to Database
2026-01-24