Network‐adjusted market share and the currency denomination of trade

The currency denomination of trade has been shown in many recent contributions to have far-reaching effects on different macroeconomic phenomena, such as inflation and the international transmission nominal shocks. In this work, we apply a novel index bargaining power, which incorporates network dimension brings fresh evidence relevance network-related features (and implied power) choice invoicing currency, received relatively little attention empirical literature, so far. By using highly disaggregated, almost transaction level, data set Italian imports exports, contribute existing literature by documenting very significant impact asymmetries, captured our adjusted market share, an invoice currency.