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Revisiting the determinants of unit values

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  • Ito, Tadashi

Abstract

This paper studies the issue of how traded quantities affect trade prices, which has been relatively unexplored in the trade literature. By reproducing previous literatures' regressions which are based on the general equilibrium trade theories, incorporating the role of traded quantities, this paper shows a possibility of prevalence of the second degree price discrimination (quantity discount) in international trade, rather than the pricing behaviour of the general equilibrium theories.

Suggested Citation

  • Ito, Tadashi, 2012. "Revisiting the determinants of unit values," IDE Discussion Papers 356, Institute of Developing Economies, Japan External Trade Organization(JETRO).
    • Handle: RePEc:jet:dpaper:dpaper356
    as

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    References listed on IDEAS

    as
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    More about this item

    Keywords

    Trade theory; International trade; Heterogeneous firms trade model; Unit value; Second degree price discrimination; Quantity discount;
    All these keywords.

    JEL classification:

    • F14 - International Economics - - Trade - - - Empirical Studies of Trade

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    This paper has been announced in the following NEP Reports:

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