Importance The article reviews main elements of the concept of price competitiveness of domestic goods and services under open economy. Objectives The purpose of the study is to identify major conditions for increasing the competitive performance of domestic goods and services. Methods The key research methods of the study include tools of formal and dialectical logic, analysis and synthesis, induction and deduction. Results We defined basic elements of the price competitiveness concept related to national goods and services, revealed that under the impact of exports and imports of goods and services on the domestic market, there are tendencies towards price factors unification with retained specificity of national pricing systems, analyzed the influence of external factors on prices of basic Russian goods. The analysis of nominal and real effective exchange rate enabled to assess positively the concept applicability to the products of domestic companies. Conclusions The reviewed elements of the said concept made it possible to identify a trend in strengthening the influence of the world price system on marketability of Russian goods and services, and the conditions, under which this trend can be used to achieve a positive result. The findings may be applied to develop strategies of price competitiveness in the Russian economy.
Keywords: price competitiveness, exchange rate, purchasing power parity
References:
Slepov V.A., Balandin S.A. [The interaction of national financial and industrial policy]. Finansovaya ekonomika = Financial Economics, 2015, no. 3, pp. 17–24. (In Russ.)
Zhilyaev K.V. [Theoretical Approaches to Model Construction for Estimation of World (Export) Prices Influence on the Russian Economy]. Nauchnye trudy: institut narodnokhozyaistvennogo prognozirovaniya RAN = Scientific Articles: Institute of Economic Forecasting of Russian Academy of Sciences, 2004, no. 2, pp. 39–56. (In Russ.)
Burstein A., Gopinath G. International Prices and Exchange Rates. NBER Working Paper, 2013, no. 18829. URL: Link doi: 10.3386/w18829
Lyashetskii A.P., Komarov O.K. [Theoretical Basis of Forming the Social Price and its Transformation into Market Price]. Ekonomicheskaya nauka sovremennoi Rossii = Economics of Contemporary Russia, 2005, no. 2, pp. 20–31. (In Russ.)
Amiti M., Itskhoki O., Konings J. International Shocks and Domestic Prices: How Large Are Strategic Complementarities? NBER Working Paper, 2016, no. 22119. URL: Link doi: 10.3386/w22119
Burlachkov V.K. Makroekonomika, monetarnaya politika, global'nyi krizis: analiz sovremennoi teorii i problemy postroeniya novoi modeli ekonomicheskogo razvitiya: monografiya [Macroeconomics, monetary policy, global crisis: Analysis of the current theory and the problem of building a new model of economic development: a monograph]. Moscow, Knizhnyi dom LIBROKOM Publ., 2013, 240 p.
Volkov I.I. Makroekonomicheskii analiz vzaimodeistviya denezhno-kreditnoi i byudzhetnoi politiki gosudarstva: monografiya [Macroeconomic analysis of interaction between monetary and fiscal policies of the State: a monograph]. Moscow, Kreativnaya ekonomika Publ., 2017, 264 p.
Trenev N.N. [Rates and price regulation]. Vestnik ekonomicheskoi integratsii = News of Economic Integration, 2011, no. 8, pp. 81–87. (In Russ.)
Betts C., Devereux M. The exchange rate in a model of pricing-to-market. European Economic Review, 1996, vol. 40, pp. 1007–1021. doi: 10.1016/ 0014-2921(95)00110-7
Malakhov S.V. [Law of One Price under Equilibrium Price Dispersion: Arbitrage and Optimization of Search]. Journal of Institutional Studies, 2016, vol. 8, no. 1, pp. 85–99. (In Russ.)
Fan H., Li Yao Amber, Yeaple S.R. Trade Liberalization, Quality, and Export Prices. NBER Working Paper, 2014, no. 20323. URL: Link
Kosov V.V. [Relative prices as a tool for medium-term forecasting of wholesale prices (the electric energy case)]. Problemy prognozirovaniya = Problems of Forecasting, 2005, no. 6, pp. 60–76. (In Russ.)
Smirnova O.O. [The impact of market power on price discrimination: Theoretical analysis and approaches to assessment]. Unikal'nye issledovaniya XXI veka, 2015, no. 4, pp. 130–136. (In Russ.) URL: Link
Plekhanov S.V. [Price regulation for the investment process in the sphere of infrastructure]. Ekonomicheskie sistemy = Economic Systems, 2013, no. 5, pp. 48–55. URL: Link (In Russ.)
Volkov I.I. [The macroeconomic regulation and finances of the multinational corporations]. Rossiiskoe predprinimatel'stvo = Russian Journal of Entrepreneurship, 2014, no. 8, pp. 18–30. (In Russ.)
D'Acunto F., Liu R., Pflueger C., Weber M. Flexible Prices and Leverage. NBER Working Paper, 2017, no. 23066. URL: Link doi: 10.3386/w23066
Manevich V.E. [Functioning of monetary and financial system and the depression of the Russian economy]. Voprosy Ekonomiki, 2016, no. 2, pp. 34–55. (In Russ.)
Samoshkov A.K., Vedmedenko E.V. [Specifics of calculating the economic prices under the frontier price method]. Problemy regional'noi ekonomiki = Problems of Regional Economics, 2014, no. 28, pp. 33–41. (In Russ.)
