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The distribution of monopolistic markups in the Polish economy

  • Jan Hagemejer


    (University of Warsaw and National Bank of Poland)

  • Piotr Popowski

    (National Bank of Poland)

Estimates of monopolistic markups are relatively scarce in the literature mostly due to lack of appropriate data and methodological difficulties, while their behaviour has important implications for the conduct of monetary policy. We estimate the monopolistic markups in the Polish economy in the period of 1995-2009 using Polish firm level data.. We show the association of the markup level with the sectoral characteristics, type of good produced and the form of ownership, as well as investigate the impact of both internationalization and competitive pressure on the level of markups. We show a somewhat puzzling and at the same time robust increase in markups after the EU accession of the Polish economy to the EU in 2004. Moreover, in line with previous findings, we show that price cost margins are countercyclical with respect to the macroeconomic cycle and procyclical at sectoral level

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Paper provided by National Bank of Poland, Economic Institute in its series National Bank of Poland Working Papers with number 121.

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Length: 38
Date of creation: 2012
Date of revision:
Handle: RePEc:nbp:nbpmis:121
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  1. Roeger, Werner, 1995. "Can Imperfect Competition Explain the Difference between Primal and Dual Productivity Measures? Estimates for U.S. Manufacturing," Journal of Political Economy, University of Chicago Press, vol. 103(2), pages 316-30, April.
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