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Price stickiness and exchange-rate pass-through: some evidence from Indian online retail

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  • Bhattacharya, Jyotirmoy

Abstract

We use daily data for a period of 219 days on the price of imported books from an online retailer based in India in order to study price stickiness and exchange-rate pass-through. The price changes in our sample are a mixture of idiosyncratic and synchronized price changes. Exchange rate pass-through is found to exist but is imperfect.

Suggested Citation

  • Bhattacharya, Jyotirmoy, 2012. "Price stickiness and exchange-rate pass-through: some evidence from Indian online retail," MPRA Paper 39334, University Library of Munich, Germany.
    • Handle: RePEc:pra:mprapa:39334
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    References listed on IDEAS

    as
    1. Andrew S. Caplin & Daniel F. Spulber, 1987. "Menu Costs and the Neutrality of Money," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 102(4), pages 703-725.
    2. Klenow, Peter J. & Malin, Benjamin A., 2010. "Microeconomic Evidence on Price-Setting," Handbook of Monetary Economics, in: Benjamin M. Friedman & Michael Woodford (ed.), Handbook of Monetary Economics, edition 1, volume 3, chapter 6, pages 231-284, Elsevier.
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    More about this item

    Keywords

    price stickiness; exchange rate pass-through; online retail;
    All these keywords.

    JEL classification:

    • E31 - Macroeconomics and Monetary Economics - - Prices, Business Fluctuations, and Cycles - - - Price Level; Inflation; Deflation

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