New York mark-ups on petroleum products
Author
Summary, in English
This paper analyzes rigidities in the behavior of the mark-up on regular, midgrade and premium varieties of petrol in the New York area using a set of weekly frequency data and a methodology that analyzes the pricing process using deterministic and stochastic techniques. The results are consistent across methodologies and indicate that the speeds of adjustment to the long run equilibrium mark-up differ across varieties of petrol with margins of the premium variety falling faster than they rise, contrary to the popular claim of welfare-decreasing asymmetries in price transmission.
Department/s
Publishing year
2012
Language
English
Pages
145-171
Publication/Series
Manchester School
Volume
80
Issue
2
Links
Document type
Journal article
Publisher
Wiley-Blackwell
Topic
- Economics
Keywords
- Asymmetric Price Transmission
- Petroleum
- Markov Switching model
- SETAR model
Status
Published
ISBN/ISSN/Other
- ISSN: 1463-6786