IDEAS home Printed from https://ideas.repec.org/a/cai/repdal/redp_164_0541.html
   My bibliography  Save this article

Price-setting in the French manufacturing sector : New evidence from survey data

Author

Listed:
  • Claire Loupias
  • Roland Ricart

Abstract

This paper reports the results of a survey conducted by the Banque de France during winter 2003-2004 to investigate the price-setting behaviour of French manufacturing companies. Prices are found to adjust infrequently; the median firm modifies the price of its main product only once a year. Price reviews are more frequent than price changes; as the median firm reviews the price quarterly. Firms are found to follow either timedependent, state-dependent or both pricing rules. Coordination failure and nominal contracts (either written or implicit) are the most important sources of price stickiness, while pricing thresholds and physical menu costs appear to have no influence.

Suggested Citation

  • Claire Loupias & Roland Ricart, 2006. "Price-setting in the French manufacturing sector : New evidence from survey data," Revue d'économie politique, Dalloz, vol. 116(4), pages 541-554.
  • Handle: RePEc:cai:repdal:redp_164_0541
    as

    Download full text from publisher

    File URL: http://www.cairn.info/load_pdf.php?ID_ARTICLE=REDP_164_0541
    Download Restriction: free

    File URL: http://www.cairn.info/revue-d-economie-politique-2006-4-page-541.htm
    Download Restriction: free

    References listed on IDEAS

    as
    1. Cornell, Bradford & Shapiro, Alan C., 1986. "The reaction of bank stock prices to the international debt crisis," Journal of Banking & Finance, Elsevier, vol. 10(1), pages 55-73, March.
    2. Millon-Cornett, Marcia H. & Tehranian, Hassan, 1989. "Stock market reactions to the depository institutions deregulation and monetary control act of 1980," Journal of Banking & Finance, Elsevier, vol. 13(1), pages 81-100, March.
    3. Osman Kilic & David Tufte & M. Hassan, 1999. "The 1994–1995 Mexican Currency Crisis and U.S. Bank Stock Returns," Journal of Financial Services Research, Springer;Western Finance Association, pages 47-60.
    4. Madura, Jeff & Tucker, Alan L. & Zarruk, Emilio, 1992. "Reaction of bank share prices to the Third-World debt reduction plan," Journal of Banking & Finance, Elsevier, vol. 16(5), pages 853-868, September.
    5. Lau, Sie Ting & McInish, Thomas H., 2003. "IMF bailouts, contagion effects, and bank security returns," International Review of Financial Analysis, Elsevier, vol. 12(1), pages 3-23.
    6. Bessler, Wolfgang & Nohel, Tom, 2000. "Asymmetric information, dividend reductions, and contagion effects in bank stock returns," Journal of Banking & Finance, Elsevier, vol. 24(11), pages 1831-1848, November.
    7. Kho, Bong-Chan & Stulz, Rene M., 2000. "Banks, the IMF, and the Asian crisis," Pacific-Basin Finance Journal, Elsevier, pages 177-216.
    8. IKE Mathur & Sridhar Sundaram, 1997. "Reaction of bank stock prices to the multiple events of the Brazilian debt crisis," Applied Financial Economics, Taylor & Francis Journals, pages 703-710.
    Full references (including those not matched with items on IDEAS)

    Citations

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


    Cited by:

    1. Maarten Dossche & Freddy Heylen & Dirk Van den Poel, 2010. "The Kinked Demand Curve and Price Rigidity: Evidence from Scanner Data," Scandinavian Journal of Economics, Wiley Blackwell, pages 723-752.
    2. Xu, Ke-Li & Phillips, Peter C. B., 2011. "Tilted Nonparametric Estimation of Volatility Functions With Empirical Applications," Journal of Business & Economic Statistics, American Statistical Association, pages 518-528.
    3. Dhyne, Emmanuel & Fuss, Catherine & Pesaran, M. Hashem & Sevestre, Patrick, 2011. "Lumpy Price Adjustments: A Microeconometric Analysis," Journal of Business & Economic Statistics, American Statistical Association, vol. 29(4), pages 529-540.
    4. Claire Loupias & Patrick Sevestre, 2013. "Costs, Demand, and Producer Price Changes," The Review of Economics and Statistics, MIT Press, vol. 95(1), pages 315-327, March.

    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:cai:repdal:redp_164_0541. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Jean-Baptiste de Vathaire). General contact details of provider: http://www.cairn.info/revue-d-economie-politique.htm .

    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 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.

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

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.