Pass-Through Elasticity, Substitution and Market Share: The Case for Sheep Meat Exports

20 Pages Posted: 6 Jun 2012

See all articles by Minsoo Lee

Minsoo Lee

Asian Development Bank

Moonjoong Tcha

affiliation not provided to SSRN

Date Written: June 6, 2005

Abstract

This paper empirically examines the exchange rate pass-through elasticity, using sheep meat exports from the two major exporters, Australia and New Zealand. The results show the coexistence of incomplete and complete pass-through in the international sheep meat industry. The Australian sheep meat exporters have a relatively smaller market share than New Zealand and are not able to exercise monopoly power. New Zealand producers, on the other hand, can increase their markups in those destination countries where they have a large market share.

Keywords: exchange rate, market share, pass-through elasticity

JEL Classification: F12, F31

Suggested Citation

Lee, Minsoo and Tcha, Moonjoong, Pass-Through Elasticity, Substitution and Market Share: The Case for Sheep Meat Exports (June 6, 2005). Journal of International Trade and Economic Development, Vol. 14, No. 2, pp. 209-228, 2005, Available at SSRN: https://ssrn.com/abstract=2078750

Minsoo Lee (Contact Author)

Asian Development Bank ( email )

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Moonjoong Tcha

affiliation not provided to SSRN

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