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Applied Industrial Organization pp 187–203Cite as

Market Structure and Pricing Behaviour in Austrian Manufacturing

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Abstract

The paper provides a formal model of price rigidities which is consistent with the observed difference in pricing across industries. The empirical test for a sample of Austrian manufacturing industries confirms the derived propositions. Concentration, inventoriability, export orientation, and disparities in firm size do not influence the price level directly but are shown to have an impact on the sensitivity of prices to demand and cost changes. Cost (demand) changes are less (more) fully transmitted into prices in concentrated industries.

I am indebted to the participants of the Industrial Organization Conference held in Vienna in June 1992 and especially to Helmut Schuster and Karl Aiginger for valuable comments.

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Author information

Authors and Affiliations

  1. University of Linz, Austria

    Christoph R. Weiss (Visiting scholar)

  2. Department of Economics, Harvard University, Cambridge, USA

    Christoph R. Weiss (Visiting scholar)

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  1. Christoph R. Weiss
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Editor information

Editors and Affiliations

  1. Institute of Economic Research, University of Linz, Vienna, Austria

    Karl Aiginger  & Jorg Finsinger  & 

  2. Business Economics Institute, University of Vienna, Vienna, Austria

    Karl Aiginger  & Jorg Finsinger  & 

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© 1994 Springer Science+Business Media Dordrecht

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Weiss, C.R. (1994). Market Structure and Pricing Behaviour in Austrian Manufacturing. In: Aiginger, K., Finsinger, J. (eds) Applied Industrial Organization. Springer, Dordrecht. https://doi.org/10.1007/978-94-017-6395-0_13

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  • DOI: https://doi.org/10.1007/978-94-017-6395-0_13

  • Publisher Name: Springer, Dordrecht

  • Print ISBN: 978-90-481-4452-5

  • Online ISBN: 978-94-017-6395-0

  • eBook Packages: Springer Book Archive

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