Price-Setting in Ukraine: Evidence from Online Prices
a National Bank of Ukraine, Kyiv, Ukraine
b Aix-Marseille School of Economics, Marseille, France

This study examines price duration and price-setting mechanisms in Ukraine using web-scraped prices. I found that the mean average duration of prices is about 2 months. Average price duration is lower for those products that are more exposed to temporary price changes (sales). Moreover, imported goods have a higher average price duration compared to domestic goods. In terms of the price-setting mechanism, the data supports timedependent price setting behavior over state-dependent. The evidence of time-dependent price setting is 1) the size of price change being positively related to the age of price; 2) many price changes of a size close to zero; and 3) the hazard function being non-increasing for the whole sample and tends to be flatter within relatively homogeneous groups of products.

Publication History
Avaliable online 30 June 2019
Full Text
Cite as: Antonova, A. (2019). Price-Setting in Ukraine: Evidence from Online Prices. Visnyk of the National Bank of Ukraine, 248, 4-10.
Citation Format


Calvo, G. A. (1983). Staggered prices in a utility-maximizing framework. Journal of Monetary Economics, 12(3), 383-398.

Cavallo, A. (2018). Scraped data and sticky prices. Review of Economics and Statistics, 100(1), 105-119.

Faryna, O., Talavera, O., Yukhymenko T. (2018). What drives the differences between online and official price indexes? Visnyk of the National Bank of Ukraine, 243(1), 21-32.

Golosov, M., Lucas, Jr. R. E. (2007). Menu costs and Phillips curves. Journal of Political Economy, 115(2), 171-199.

Gorodnichenko, Y., Talavera, O. (2017). Price setting in online markets: Basic facts, international comparisons, and cross-border integration. American Economic Review, 107(1), 249-282.

Klenow, P.J., Malin, B. A. (2010). Microeconomic evidence on price-setting. Handbook of Monetary Economics, 3, 2010, 231-284. Elsevier.

Klenow, P. J., Kryvtsov, O. (2008). State-dependent or time-dependent pricing: Does it matter for recent US inflation? The Quarterly Journal of Economics, 123(3), 863-904.

Nakamura, E., Steinsson, J. (2008). Five facts about prices: A reevaluation of menu cost models. The Quarterly Journal of Economics, 123(4), 1415-1464.

Nelson, W. (1972). Theory and applications of hazard plotting for censored failure data. Technometrics, 14(4), 945-966.

Rights and Permissions
This work is licensed under a Creative Commons Attribution 4.0 International License. The images or other third party material in this article are included in the article’s Creative Commons license, unless indicated otherwise in the credit line; if the material is not included under the Creative Commons license, users will need to obtain permission from the license holder to reproduce the material.
Submit Your Paper