IDEAS home Printed from https://ideas.repec.org/a/bla/worlde/v34y2011i9p1593-1627.html

Markups, Bargaining Power and Offshoring: An Empirical Assessment-super-1

Author

Listed:
  • Lourdes Moreno
  • Diego Rodríguez

Abstract

This paper tests the pro-competitive effect of imports on product and labour markets for Spanish manufacturing firms in the period 1990-2005. In doing so, it takes into account the type of imported products: final vs intermediate. Markups are estimated following the procedure suggested by Roeger (1995) and including an efficient bargaining model. The observed heterogeneity among firms is parameterized to consider additional product standardization and market concentration. The results support the Imports as Market Discipline hypothesis for importers of final goods, while firms that offshore intermediate inputs show similar markups to non-importers. Additionally, the union bargaining power is smaller the more final-goods oriented imports are and the more homogeneous is the type of goods elaborated by firms.
(This abstract was borrowed from another version of this item.)

Suggested Citation

  • Lourdes Moreno & Diego Rodríguez, 2011. "Markups, Bargaining Power and Offshoring: An Empirical Assessment-super-1," The World Economy, Wiley Blackwell, vol. 34(9), pages 1593-1627, September.
    • Handle: RePEc:bla:worlde:v:34:y:2011:i:9:p:1593-1627
    DOI: j.1467-9701.2011.01378.x
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/10.1111/j.1467-9701.2011.01378.x
    Download Restriction: Access to full text is restricted to subscribers.
    File URL: https://libkey.io/j.1467-9701.2011.01378.x?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to look for a different version below or

    for a different version of it.

    Other versions of this item:

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Stefano Schiavo & Lionel Nesta, 2017. "International Competition and Rent Sharing in French Manufacturing," DEM Working Papers 2017/07, Department of Economics and Management.
    2. Worku Gebeyehu, . "Trade Reforms, Mark-Ups and Bargaining Power of Workers: the Case of Ethiopian Manufacturing Firms," Ethiopian Journal of Economics, Ethiopian Economics Association, vol. 25(01).
    3. Mauro Caselli & Stefano Schiavo, 2020. "Markups, import competition and exporting," The World Economy, Wiley Blackwell, vol. 43(5), pages 1309-1326, May.
    4. de Pinto, Marco & Michaelis, Jochen, 2019. "The labor market effects of trade union heterogeneity," Economic Modelling, Elsevier, vol. 78(C), pages 60-72.
    5. Marco de Pinto & Jochen Michaelis, 2017. "Firm Selection and the Role of Union Heterogeneity," MAGKS Papers on Economics 201743, Philipps-Universität Marburg, Faculty of Business Administration and Economics, Department of Economics (Volkswirtschaftliche Abteilung).
    6. Cristina Fernández & Aitor Lacuesta & José Manuel Montero & Alberto Urtasun, 2015. "Heterogeneity of markups at the firm level and changes during the great recession: the case of spain," Working Papers 1536, Banco de España.
    7. Lin Sun & Qiaoyun Fang & Zhaofang Ni & Michael R. Reed, 2025. "Not the priciest, but the best quality: A new interpretation of high import food price in China," Agribusiness, John Wiley & Sons, Ltd., vol. 41(1), pages 158-183, January.
    8. João Amador & Ana Cristina Soares, 2017. "Markups and bargaining power in tradable and non-tradable sectors," Empirical Economics, Springer, vol. 53(2), pages 669-694, September.
    9. repec:ptu:bdpart:b201303 is not listed on IDEAS
    10. Leahy, Dermot & Montagna, Catia, 2012. "Strategic investment and international outsourcing in unionised oligopoly," Labour Economics, Elsevier, vol. 19(2), pages 260-269.
    11. Dumont, Michel & Rayp, Glenn & Willemé, Peter, 2012. "The bargaining position of low-skilled and high-skilled workers in a globalising world," Labour Economics, Elsevier, vol. 19(3), pages 312-319.
    12. Buccella, Domenico & Fanti, Luciano, 2020. "Do labour union recognition and bargaining deter entry in a network industry? A sequential game model," Utilities Policy, Elsevier, vol. 64(C).
    13. Luis C. Corchón & Lourdes Moreno, 2016. "Interpreting Markups in Spanish Manufacturing: The Exponential Model," Springer Series in Game Theory, in: Pierre von Mouche & Federico Quartieri (ed.), Equilibrium Theory for Cournot Oligopolies and Related Games, pages 119-131, Springer.
    14. Juan A. Máñez Castillejo & Consuelo Mínguez Bosque & María E. Rochina Barrachina & Juan A. Sanchis Llopis, 2020. "Trading activities, productivity and markups: Evidence for Spanish manufacturing," The World Economy, Wiley Blackwell, vol. 43(3), pages 644-680, March.
    15. Sabien Dobbelaere & Catherine Fuss & Mark Vancauteren, 2022. "Does offshoring shape labor market imperfections? A comparative analysis of Belgian and Dutch firms," Working Paper Research 425, National Bank of Belgium.
    16. Domenico Buccella, 2011. "Labor unions and economic integration: A review," Económica, Instituto de Investigaciones Económicas, Facultad de Ciencias Económicas, Universidad Nacional de La Plata, vol. 0, pages 25-89, January-D.
    17. repec:spo:wpmain:info:hdl:2441/2d13t3kn6v8mop0no1md4bjn1i is not listed on IDEAS
    18. M. Dumont & G. Rayp & P. Willem, 2010. ""M nage trois" in a globalizing world: bargaining between firms, low-skilled and high-skilled workers," Working Papers of Faculty of Economics and Business Administration, Ghent University, Belgium 10/687, Ghent University, Faculty of Economics and Business Administration.
    19. Li, Yifan & Miao, Zhuang, 2024. "The rise of superstar firms in the United States: The role of global sourcing," Journal of Comparative Economics, Elsevier, vol. 52(1), pages 113-144.
    20. Ana Cristina Soares & João Amador, 2013. "Competition in the Portuguese Economy: Estimated Price-Cost Margins Under Imperfect Labour Markets," Economic Bulletin and Financial Stability Report Articles and Banco de Portugal Economic Studies, Banco de Portugal, Economics and Research Department.
    21. Ana Cristina Soares, 2020. "Price-cost margin and bargaining power in the European Union," Empirical Economics, Springer, vol. 59(5), pages 2093-2123, November.
    22. Lionel Nesta & Stefano Schiavo, 2018. "International Competition and Rent Sharing in French Manufacturing: A Firm-Level Analysis," EconPol Working Paper 19, ifo Institute - Leibniz Institute for Economic Research at the University of Munich.
    23. Caselli, Mauro & Nesta, Lionel & Schiavo, Stefano, 2021. "Imports and labour market imperfections: Firm-level evidence from France," European Economic Review, Elsevier, vol. 131(C).
    24. Luciano Fanti & Domenico Buccella, 2019. "When unionisation is profitable for firms in network industries," Metroeconomica, Wiley Blackwell, vol. 70(4), pages 711-722, November.

    More about this item

    JEL classification:

    • F16 - International Economics - - Trade - - - Trade and Labor Market Interactions
    • L60 - Industrial Organization - - Industry Studies: Manufacturing - - - General

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:bla:worlde:v:34:y:2011:i:9:p:1593-1627. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Wiley Content Delivery (email available below). General contact details of provider: http://www.blackwellpublishing.com/journal.asp?ref=0378-5920 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.