Contractual Price Rigidities and Exchange Rate Adjustment

• Recent years have provided overwhelming evidence for substantial deviations from purchasing power parity as calculated from price indices for internationally traded goods and services. These deviations have significant implications for pricing policies of multinational firms. This article reports the findings of a comparative study of Swedish and Singaporean firms. It is aimed at assessing the importance of different kinds of contracts in corporate pricing strategies and in the macroadjustment process. Specifically, the purpose of the study is to investigate the importance of different implicit and explicit corporate strategies related to this issue.

Subject headings

SAMHÄLLSVETENSKAP  -- Ekonomi och näringsliv -- Företagsekonomi (hsv//swe)

SOCIAL SCIENCES  -- Economics and Business -- Business Administration (hsv//eng)

SAMHÄLLSVETENSKAP  -- Ekonomi och näringsliv (hsv//swe)

SOCIAL SCIENCES  -- Economics and Business (hsv//eng)

Keyword

Business & Management

Development Economics

Globalisation

International Business

International Economics

International Political Economy

International Trade (incl. trade agreements & tariffs)

Management & Management Techniques

Politics of International Trade

Publication and Content Type

art (subject category)

ref (subject category)