Authors: Anthony N Rezitis Maria A Kalantzi
Publish Date: 2015/08/04
Volume: 50, Issue: 4, Pages: 1275-1302
Abstract
This paper extends the Hall–Roeger methodology in order to investigate the market structure and to measure the degree of market power in the Greek manufacturing sector over the period 1984–2007 as a whole and by subsector at the twodigit SIC level The present paper also estimates the net and the total welfare losses in these market power scenarios The bootstrap method is applied to assign measures of accuracy to the statistical estimates The empirical results indicate some degree of market power and thus associated welfare losses for each subsector in the Greek manufacturing sector over the period 1984–2007Q is the value added at 1995 constant prices and is created by dividing the value added in current prices as reported in AIS by the producer price index P in manufacturing 1995 = 100 as reported in the AIS Note that Q represents industrial level output Therefore Q changes among the 21 industries of the manufacturing sector and across timeI is the gross national product at 1995 constant prices and is obtained by dividing the gross national product in current prices as reported in the Economic and Financial Affairs of the European Commission by the gross domestic product deflator as referred in the AIS Note that I is varying only across time
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