OPENNESS TO TRADE AND INDUSTRY COST DISPERSION: EVIDENCE FROM A PANEL OF ITALIAN FIRMS

ABSTRACT We use Italian firm‐level data to investigate the impact of trade openness on the distribution of firms across marginal cost levels. In so doing, we implement a procedure that allows us to control not only for the standard transmission bias identified in firm‐level TFP regressions but also...

Full description

Saved in:
Bibliographic Details
Published in:Journal of regional science 2008-02, Vol.48 (1), p.97-129
Main Authors: Del Gatto, Massimo, Ottaviano, Gianmarco I. P., Pagnini, Marcello
Format: Article
Language:English
Subjects:
Bias
Competition
Cost analysis
Enterprises
Impact analysis
Industrial organization
International competition
International trade
Italy
Marginal costs
Open economies
Regional economics
Regional studies
Regression analysis
Studies
Total factor productivity
Citations: Items that this one cites
Items that cite this one
Online Access:Get full text
Tags: Add Tag
No Tags, Be the first to tag this record!
cited_by cdi_FETCH-LOGICAL-c6036-e4225de9f473003eb440223ad41d525e2429c603c17ac41d15cf7b63b76ad5cb3
cites cdi_FETCH-LOGICAL-c6036-e4225de9f473003eb440223ad41d525e2429c603c17ac41d15cf7b63b76ad5cb3
container_end_page 129
container_issue 1
container_start_page 97
container_title Journal of regional science
container_volume 48
creator Del Gatto, Massimo
Ottaviano, Gianmarco I. P.
Pagnini, Marcello
description ABSTRACT We use Italian firm‐level data to investigate the impact of trade openness on the distribution of firms across marginal cost levels. In so doing, we implement a procedure that allows us to control not only for the standard transmission bias identified in firm‐level TFP regressions but also for the omitted price bias due to imperfect competition. We find that more open industries are characterized by a smaller dispersion of costs across active firms. Moreover, in those industries the average cost is also smaller.
doi_str_mv 10.1111/j.1467-9787.2008.00546.x
format article
fullrecord <record><control><sourceid>proquest_cross</sourceid><recordid>TN_cdi_proquest_miscellaneous_36858304</recordid><sourceformat>XML</sourceformat><sourcesystem>PC</sourcesystem><sourcerecordid>36858304</sourcerecordid><originalsourceid>FETCH-LOGICAL-c6036-e4225de9f473003eb440223ad41d525e2429c603c17ac41d15cf7b63b76ad5cb3</originalsourceid><addsrcrecordid>eNqNkEGP0zAQhSMEEmXhP1gcuCVrx46dIHEITboEdZ0qyRZxGjmpCwnptsQttP8eZ4N64ISl57HG7xuNnuMggj1iz23nEcaFG4lQeD7GoYdxwLh3fubMrh_PnRnGvu8y23npvDKmwxgTxvjMWeerVMq0LFGVo6qIkxTFMkGZTB7KqviK5nlZoSQrV2lRZrl8j9J1lqRynqJFkd-jGK1imS5RvkBZFS-zWKJFVtyXr50XW9Ub_eZvvXEeFmk1_-Qu87tsHi_dhmPKXc18P9joaMsExZjqmjG7J1UbRjaBH2if-dHobIhQje2RoNmKmtNacLUJmpreOO-muYdh__OkzRF2rWl036tHvT8ZoDwMQoqZNb79x9jtT8Oj3Q1sajQUIuLWFE6mZtgbM-gtHIZ2p4YLEAxj2tDBGCqMoY5cCE9pw9mi2YQO-qCbK1f3qhv0N9PAL6CKhfa6WD2hVLVWxOpgFQkgfgTfjzs768M063fb68t_7wCf86K0L8u7E9-aoz5feTX8AC6oCOCLvAMRShv2ag0f6R_g2qQ5</addsrcrecordid><sourcetype>Aggregation Database</sourcetype><iscdi>true</iscdi><recordtype>article</recordtype><pqid>200387796</pqid></control><display><type>article</type><title>OPENNESS TO TRADE AND INDUSTRY COST DISPERSION: EVIDENCE FROM A PANEL OF ITALIAN FIRMS</title><source>EconLit s plnými texty</source><source>EBSCOhost Business Source Ultimate</source><source>International Bibliography of the Social Sciences (IBSS)</source><source>Wiley-Blackwell Read &amp; Publish Collection</source><source>PAIS Index</source><creator>Del Gatto, Massimo ; Ottaviano, Gianmarco I. P. ; Pagnini, Marcello</creator><creatorcontrib>Del Gatto, Massimo ; Ottaviano, Gianmarco I. P. ; Pagnini, Marcello</creatorcontrib><description>ABSTRACT We use Italian firm‐level data to investigate the impact of trade openness on the distribution of firms across marginal cost levels. In so doing, we implement a procedure that allows us to control not only for the standard transmission bias identified in firm‐level TFP regressions but also for the omitted price bias due to imperfect competition. We find that more open industries are characterized by a smaller dispersion of costs across active firms. Moreover, in those industries the average cost is also smaller.</description><identifier>ISSN: 0022-4146</identifier><identifier>EISSN: 1467-9787</identifier><identifier>DOI: 10.1111/j.1467-9787.2008.00546.x</identifier><identifier>CODEN: JRESAM</identifier><language>eng</language><publisher>Malden, USA: Blackwell Publishing Inc</publisher><subject>Bias ; Competition ; Cost analysis ; Enterprises ; Impact analysis ; Industrial organization ; International competition ; International trade ; Italy ; Marginal costs ; Open economies ; Regional economics ; Regional studies ; Regression analysis ; Studies ; Total factor productivity</subject><ispartof>Journal of regional science, 2008-02, Vol.48 (1), p.97-129</ispartof><rights>Copyright Blackwell Publishers Inc. Feb 2008</rights><lds50>peer_reviewed</lds50><woscitedreferencessubscribed>false</woscitedreferencessubscribed><citedby>FETCH-LOGICAL-c6036-e4225de9f473003eb440223ad41d525e2429c603c17ac41d15cf7b63b76ad5cb3</citedby><cites>FETCH-LOGICAL-c6036-e4225de9f473003eb440223ad41d525e2429c603c17ac41d15cf7b63b76ad5cb3</cites></display><links><openurl>$$Topenurl_article</openurl><openurlfulltext>$$Topenurlfull_article</openurlfulltext><thumbnail>$$Tsyndetics_thumb_exl</thumbnail><link.rule.ids>314,776,780,27845,27903,27904,33202,33203</link.rule.ids><backlink>$$Uhttp://econpapers.repec.org/article/blajregsc/v_3a48_3ay_3a2008_3ai_3a1_3ap_3a97-129.htm$$DView record in RePEc$$Hfree_for_read</backlink></links><search><creatorcontrib>Del Gatto, Massimo</creatorcontrib><creatorcontrib>Ottaviano, Gianmarco I. P.</creatorcontrib><creatorcontrib>Pagnini, Marcello</creatorcontrib><title>OPENNESS TO TRADE AND INDUSTRY COST DISPERSION: EVIDENCE FROM A PANEL OF ITALIAN FIRMS</title><title>Journal of regional science</title><description>ABSTRACT We use Italian firm‐level data to investigate the impact of trade openness on the distribution of firms across marginal cost levels. In so doing, we implement a procedure that allows us to control not only for the standard transmission bias identified in firm‐level TFP regressions but also for the omitted price bias due to imperfect competition. We find that more open industries are characterized by a smaller dispersion of costs across active firms. Moreover, in those industries the average cost is also smaller.</description><subject>Bias</subject><subject>Competition</subject><subject>Cost analysis</subject><subject>Enterprises</subject><subject>Impact analysis</subject><subject>Industrial organization</subject><subject>International competition</subject><subject>International trade</subject><subject>Italy</subject><subject>Marginal costs</subject><subject>Open economies</subject><subject>Regional economics</subject><subject>Regional studies</subject><subject>Regression analysis</subject><subject>Studies</subject><subject>Total factor productivity</subject><issn>0022-4146</issn><issn>1467-9787</issn><fulltext>true</fulltext><rsrctype>article</rsrctype><creationdate>2008</creationdate><recordtype>article</recordtype><sourceid>7TQ</sourceid><sourceid>8BJ</sourceid><recordid>eNqNkEGP0zAQhSMEEmXhP1gcuCVrx46dIHEITboEdZ0qyRZxGjmpCwnptsQttP8eZ4N64ISl57HG7xuNnuMggj1iz23nEcaFG4lQeD7GoYdxwLh3fubMrh_PnRnGvu8y23npvDKmwxgTxvjMWeerVMq0LFGVo6qIkxTFMkGZTB7KqviK5nlZoSQrV2lRZrl8j9J1lqRynqJFkd-jGK1imS5RvkBZFS-zWKJFVtyXr50XW9Ub_eZvvXEeFmk1_-Qu87tsHi_dhmPKXc18P9joaMsExZjqmjG7J1UbRjaBH2if-dHobIhQje2RoNmKmtNacLUJmpreOO-muYdh__OkzRF2rWl036tHvT8ZoDwMQoqZNb79x9jtT8Oj3Q1sajQUIuLWFE6mZtgbM-gtHIZ2p4YLEAxj2tDBGCqMoY5cCE9pw9mi2YQO-qCbK1f3qhv0N9PAL6CKhfa6WD2hVLVWxOpgFQkgfgTfjzs768M063fb68t_7wCf86K0L8u7E9-aoz5feTX8AC6oCOCLvAMRShv2ag0f6R_g2qQ5</recordid><startdate>200802</startdate><enddate>200802</enddate><creator>Del Gatto, Massimo</creator><creator>Ottaviano, Gianmarco I. P.</creator><creator>Pagnini, Marcello</creator><general>Blackwell Publishing Inc</general><general>Wiley Blackwell</general><general>Blackwell Publishers Inc</general><scope>BSCLL</scope><scope>DKI</scope><scope>X2L</scope><scope>AAYXX</scope><scope>CITATION</scope><scope>7TQ</scope><scope>8BJ</scope><scope>DHY</scope><scope>DON</scope><scope>FQK</scope><scope>JBE</scope></search><sort><creationdate>200802</creationdate><title>OPENNESS TO TRADE AND INDUSTRY COST DISPERSION: EVIDENCE FROM A PANEL OF ITALIAN FIRMS</title><author>Del Gatto, Massimo ; Ottaviano, Gianmarco I. P. ; Pagnini, Marcello</author></sort><facets><frbrtype>5</frbrtype><frbrgroupid>cdi_FETCH-LOGICAL-c6036-e4225de9f473003eb440223ad41d525e2429c603c17ac41d15cf7b63b76ad5cb3</frbrgroupid><rsrctype>articles</rsrctype><prefilter>articles</prefilter><language>eng</language><creationdate>2008</creationdate><topic>Bias</topic><topic>Competition</topic><topic>Cost analysis</topic><topic>Enterprises</topic><topic>Impact analysis</topic><topic>Industrial organization</topic><topic>International competition</topic><topic>International trade</topic><topic>Italy</topic><topic>Marginal costs</topic><topic>Open economies</topic><topic>Regional economics</topic><topic>Regional studies</topic><topic>Regression analysis</topic><topic>Studies</topic><topic>Total factor productivity</topic><toplevel>peer_reviewed</toplevel><toplevel>online_resources</toplevel><creatorcontrib>Del Gatto, Massimo</creatorcontrib><creatorcontrib>Ottaviano, Gianmarco I. P.</creatorcontrib><creatorcontrib>Pagnini, Marcello</creatorcontrib><collection>Istex</collection><collection>RePEc IDEAS</collection><collection>RePEc</collection><collection>CrossRef</collection><collection>PAIS Index</collection><collection>International Bibliography of the Social Sciences (IBSS)</collection><collection>PAIS International</collection><collection>PAIS International (Ovid)</collection><collection>International Bibliography of the Social Sciences</collection><collection>International Bibliography of the Social Sciences</collection><jtitle>Journal of regional science</jtitle></facets><delivery><delcategory>Remote Search Resource</delcategory><fulltext>fulltext</fulltext></delivery><addata><au>Del Gatto, Massimo</au><au>Ottaviano, Gianmarco I. P.</au><au>Pagnini, Marcello</au><format>journal</format><genre>article</genre><ristype>JOUR</ristype><atitle>OPENNESS TO TRADE AND INDUSTRY COST DISPERSION: EVIDENCE FROM A PANEL OF ITALIAN FIRMS</atitle><jtitle>Journal of regional science</jtitle><date>2008-02</date><risdate>2008</risdate><volume>48</volume><issue>1</issue><spage>97</spage><epage>129</epage><pages>97-129</pages><issn>0022-4146</issn><eissn>1467-9787</eissn><coden>JRESAM</coden><abstract>ABSTRACT We use Italian firm‐level data to investigate the impact of trade openness on the distribution of firms across marginal cost levels. In so doing, we implement a procedure that allows us to control not only for the standard transmission bias identified in firm‐level TFP regressions but also for the omitted price bias due to imperfect competition. We find that more open industries are characterized by a smaller dispersion of costs across active firms. Moreover, in those industries the average cost is also smaller.</abstract><cop>Malden, USA</cop><pub>Blackwell Publishing Inc</pub><doi>10.1111/j.1467-9787.2008.00546.x</doi><tpages>33</tpages></addata></record>
fulltext fulltext
identifier ISSN: 0022-4146
ispartof Journal of regional science, 2008-02, Vol.48 (1), p.97-129
issn 0022-4146
1467-9787
language eng
recordid cdi_proquest_miscellaneous_36858304
source EconLit s plnými texty; EBSCOhost Business Source Ultimate; International Bibliography of the Social Sciences (IBSS); Wiley-Blackwell Read & Publish Collection; PAIS Index
subjects Bias
Competition
Cost analysis
Enterprises
Impact analysis
Industrial organization
International competition
International trade
Italy
Marginal costs
Open economies
Regional economics
Regional studies
Regression analysis
Studies
Total factor productivity
title OPENNESS TO TRADE AND INDUSTRY COST DISPERSION: EVIDENCE FROM A PANEL OF ITALIAN FIRMS
url http://sfxeu10.hosted.exlibrisgroup.com/loughborough?ctx_ver=Z39.88-2004&ctx_enc=info:ofi/enc:UTF-8&ctx_tim=2025-01-26T08%3A42%3A22IST&url_ver=Z39.88-2004&url_ctx_fmt=infofi/fmt:kev:mtx:ctx&rfr_id=info:sid/primo.exlibrisgroup.com:primo3-Article-proquest_cross&rft_val_fmt=info:ofi/fmt:kev:mtx:journal&rft.genre=article&rft.atitle=OPENNESS%20TO%20TRADE%20AND%20INDUSTRY%20COST%20DISPERSION:%20EVIDENCE%20FROM%20A%20PANEL%20OF%20ITALIAN%20FIRMS&rft.jtitle=Journal%20of%20regional%20science&rft.au=Del%20Gatto,%20Massimo&rft.date=2008-02&rft.volume=48&rft.issue=1&rft.spage=97&rft.epage=129&rft.pages=97-129&rft.issn=0022-4146&rft.eissn=1467-9787&rft.coden=JRESAM&rft_id=info:doi/10.1111/j.1467-9787.2008.00546.x&rft_dat=%3Cproquest_cross%3E36858304%3C/proquest_cross%3E%3Cgrp_id%3Ecdi_FETCH-LOGICAL-c6036-e4225de9f473003eb440223ad41d525e2429c603c17ac41d15cf7b63b76ad5cb3%3C/grp_id%3E%3Coa%3E%3C/oa%3E%3Curl%3E%3C/url%3E&rft_id=info:oai/&rft_pqid=200387796&rft_id=info:pmid/&rfr_iscdi=true