Busse, Meghan R.; Kittel, Christopher R.; Zettelmeyer, … - 2012
Many consumers are keenly aware of gasoline prices, and consumer responses to gasoline prices have been well studied …. In this paper, by contrast, we investigate how gasoline prices affect the automobile industry: manufacturers and … dealerships. We estimate how changes in gasoline prices affect equilibrium prices and sales of both new and used vehicles of …