The Age of the Dragon: The Effect of Imports from China on Firm‐Level Prices
研究中国进口渗透率上升对意大利企业产出价格的影响，发现中国进口增加会抑制价格增长，尤其对低生产率企业和低技能密集型行业影响更大，并降低了意大利整体通胀。
We analyze the impact of increased import penetration from China on the dynamics of firm‐level output prices in Italy. Accounting for potential endogeneity biases we find a significant and negative causal relationship: a 0.1 percentage point higher Chinese import penetration restrains price growth by 0.17 percentage points per year. This relationship reflects a procompetitive effect induced by cheaper imports, and, thanks to the firm‐level dimension of our data, we show that it is driven by low‐productivity firms within less skill‐intensive sectors. Finally, we show that Chinese import competition also had a dampening effect on Italian overall inflation.