Mailing Address
School of Advanced International Studies
Johns Hopkins University
Office 743A
1717 Massachusetts Avenue NW
Washington DC, 20036

Contact information
Email: ppiveteau@jhu.edu
Phone: 202 663 5977

Curriculum Vitae pdf
me


Working Papers


Foreign Competition along the Quality Ladder, November 2018 pdf
Joint with Gabriel Smagghue

We document that French firms with low prices are more affected by low-cost competition than high-price firms. We rationalize this finding through a random-coefficients demand model with heterogeneous consumers. This heterogeneity generates rich substitution patterns across producers and leads to quality upgrading in response to low-cost competition. We estimate the model using data from the footwear industry, and use it to quantify the unequal impact of the ``China shock''. We find that Chinese competition was 50 percent more damaging to French firms at the bottom of the price distribution, and show that quality upgrading did little to mitigate that impact.


An Empirical Dynamic Model of Trade with Consumer Accumulation, August 2018 pdf

Sunk entry costs have been identified as the main export barrier by standard dynamic models of trade. However, these large entry costs are inconsistent with the existence of many small new exporters with low survival rates in foreign markets. To reconcile these patterns, this paper develops a dynamic structural model of trade in which firms slowly accumulate consumers in foreign markets. Estimating the model using export data from individual firms and a particle Markov chain Monte Carlo estimator, the model correctly predicts lower survival rates for new exporters and estimates much lower entry costs of exporting - half of those estimated in the absence of consumer accumulation. Using simulations and out-of-sample predictions, I show that these results have important implications regarding the aggregate response of international trade to external shocks.


Estimating firm-level product quality with trade data, June 2018 pdf
Joint with Gabriel Smagghue. Winner of the FREIT EIIT 2013 best graduate student paper.
Revised and Resubmitted, Journal of International Economics

We propose a new instrumental variable strategy to estimate product quality at the firm-level, using trade data. Interacting firm importing shares by country with real exchange rates (RER), we obtain a cost shifter that varies across firms and is arguably orthogonal to product quality. We use this import weighted RER as an instrument for export prices and we identify firm-level quality from residual export variations, after controlling for prices. Our quality estimates correlate sensibly to firm characteristics (e.g. wages) and to alternative measures of quality available for some rare sectors. By contrast, our estimates are not always consistent with prices, a popular proxy for quality. We show for instance that firms add products to their export portfolio when their quality increases, as expected, while simultaneously their prices decrease. This suggests that our empirical strategy, by delivering quality estimates which, unlike prices, are not polluted with productivity variations, should contribute to future research on the link between firm-level product quality and globalization.

Teaching


Microeconomics (SA.300.700), Syllabus
Fall 2016, Fall 2017, Spring 2018, Fall 2018

Advanced Microeconomics (SA.310.700), Syllabus
Summer 2018