Discussion paper

DP8544 The arrival of cheap goods: Measuring the impact of Chinese import competition on Nordic prices

What is the impact of Chinese import competition on Nordic producer prices? In a panel covering 23 (2 digit) NACE manufacturing sectors from 1995 to 2008, instrumental variable estimations predict that when Chinese imports capture a 1% increase in market share, Nordic producer prices decrease by about 2.0%. This China effect entails a drop of 14% in producer prices for the analyzed period.

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Citation

Fischer, A, R Auer and A Kropf (2011), ‘DP8544 The arrival of cheap goods: Measuring the impact of Chinese import competition on Nordic prices‘, CEPR Discussion Paper No. 8544. CEPR Press, Paris & London. https://cepr.org/publications/dp8544