Exchange rate adjustment and oligopoly pricing behaviour
构建了一个分析不对称寡头市场中价格对成本变化调整的理论框架，并用欧洲汽车市场数据验证了汇率变动可能不改变价格，而是影响价格成本差。
This paper sets out a general theoretical structure for analyzing price adjustments to cost changes within asymmetric oligopolistic markets. The theory implies that, contrary to the usual assumption, exchange rate changes may leave prices unaltered. This is explored by an empirical examination of the European car market; intracountry changes in car prices and the huge differences in U.K. and European car prices are both examined. The empirical results are in line with the theoretical implications: changes in relative supply costs are more likely to be converted into changes in price-cost margins than prices within a national oligopolistic market. Copyright 1989 by Oxford University Press.