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Product variety, competition and economic growth

✍ Scribed by Pier Paolo Saviotti; Andreas Pyka

Publisher
Springer-Verlag
Year
2008
Tongue
English
Weight
825 KB
Volume
18
Category
Article
ISSN
0936-9937

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Exchange rates and product variety
Exchange rates and product variety
✍ Witness Simbanegavi πŸ“‚ Article πŸ“… 2009 πŸ› John Wiley and Sons 🌐 English βš– 154 KB

## Abstract We study the role of exchange rate variability in the firm's choice of whether to offer one or two varieties. We show that variability induces the firm to vertically segment markets (offer two varieties). This happens because variability in the exchange rate affects income dispersion an