全球智库信息集成服务系统(G2TT): DP13282 Invoicing and the Dynamics of Pricing-to-Market: Evidence from UK Export Prices around the Brexit Referendum

G2TT

来源类型	Discussion paper
规范类型	论文
来源ID	DP13282
	DP13282 Invoicing and the Dynamics of Pricing-to-Market: Evidence from UK Export Prices around the Brexit Referendum
	Meredith A. Crowley; Giancarlo Corsetti; Lu Han
发表日期	2018-10-29
出版年	2018
语种	英语
摘要	Analyzing the large and persistent sterling depreciation following the Brexit referendum, we provide microeconometric evidence that the currency in which a cross-border sale is invoiced predicts systematic differences in the dynamics of exchange rate pass-through (ERPT) and pricing to market. We find that, while ERPT is high for transactions invoiced in producer currency and low for sales invoiced either in a vehicle or in the destination market currency,these differences strikingly narrow within six quarters. Notably, the weaker currency did not translate into a persistent gain in price competitiveness for UK exports. We also find that firms price-to-market, i.e., adjust markups to bilateral exchange rate and CPI movements, only when they invoice sales in the destination-market currency. Finally, we document that the aggregate shares of invoicing currency remain remarkably stable over time and do not respond to the Brexit shock. Yet, at a granular level, UK firms invoice in multiple currencies - even when shipping a product to the same destination - and switch currencies over time.
主题	International Macroeconomics and Finance ; International Trade and Regional Economics
关键词	Exchange rates Pass through Law of one price Markup elasticity Vehicle currency Dominant currency Firm level data
URL	https://cepr.org/publications/dp13282-2
来源智库	Centre for Economic Policy Research (United Kingdom)
资源类型	智库出版物
条目标识符	http://119.78.100.153/handle/2XGU8XDN/542092
推荐引用方式 GB/T 7714	Meredith A. Crowley,Giancarlo Corsetti,Lu Han. DP13282 Invoicing and the Dynamics of Pricing-to-Market: Evidence from UK Export Prices around the Brexit Referendum. 2018.