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Korean dumping and domestic market power

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  • Korean dumping and domestic market power
  • Jeong, Kap-Young; Kim, Donghun; Masson, Robert T.; Jakubson, George H.
  • Yonsei University


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Title Korean dumping and domestic market power
Similar Titles
Material Type Articles
Author(English)

Jeong, Kap-Young; Kim, Donghun; Masson, Robert T.; Jakubson, George H.

Publisher

[Seoul, South Korea]:Yonsei University

Date 2015-11
Pages 24
Subject Country South Korea(Asia and Pacific)
Language English
File Type Link
Subject Economy < Trade
Economy < Economic System
Holding SSRN

Abstract

We model “dumping” as price discrimination assuming profit maximization by Korean firms prior to OECD and WTO membership. We show that the ratio of domestic prices, PD, to export prices, PX, can be derived from domestic and export price-cost margins. Accounting mismeasurements of costs cancel out in this dependent variable. Our structural model captures differential efficiencies in market shares and demand elasticities as non-linear fixed effects. PD/PX is a strongly positive function of Concentration.