Showing 1 - 10 of 16,170
This paper introduces a dynamical extension to the theoretical framework proposed by Slim (2009), where the author analyzes price formation in illegal markets. We develop a simple model with two regimes that can show a rich variety of dynamic behaviors, such as cyclical or even chaotic...
Persistent link: https://www.econbiz.de/10012928346
The recent global increases in fuel prices threaten the gains in poverty reduction that countries like Paraguay have achieved over the past few decades. Therefore, policy makers must understand the potential distributional impacts of increases in fuel prices to evaluate the implementation of...
Persistent link: https://www.econbiz.de/10013541733
This article considers cointegration analysis to detect key features of long‐run structure in the gasoline market. The main purpose of this study is to investigate possible long‐run price leadership in the US gasoline market and the characteristics relevant to a competitive market using the...
Persistent link: https://www.econbiz.de/10013054224
We study a competitive market for a homogeneous good, in which the only uncertainty concerns the number of identical sellers, who are sampled by a finite Poisson process from a continuum of potential participants. It is shown that, in equilibrium, there is price dispersion. Specifically, prices...
Persistent link: https://www.econbiz.de/10014063299
Using a model of dynamic price competition, this paper provides an explanation from the supply side for the well-established observation that retail prices adjust faster when input costs rise than when they fall. The opportunity of profitable storing for the next period induces competitive firms...
Persistent link: https://www.econbiz.de/10010494975
This study investigates the relationship between crude oil price and petrol price, as well as their behavior using daily U.S. price series in the period from January 11, 1988 to May 20, 2011. We find that uni-variate GARCH (1,1) is likely the most suitable model to measure the volatility of...
Persistent link: https://www.econbiz.de/10013063609
This study investigates the price volatility of metals, using the GARCH and GJR models. First we examine the persistence of volatility and the leverage effect across metal markets taking into account the presence of outliers, and second we estimate the effects of oil price shocks on the price...
Persistent link: https://www.econbiz.de/10013015934
The use of corn for ethanol has been the topic of heated discussions in the media and among policy makers. As part of this debate, some observers have argued that the use of corn in the production of ethanol has had adverse effects on corn prices. This paper contributes to this reviving debate...
Persistent link: https://www.econbiz.de/10013100559
Despite an extensive literature on contributing factors to the high commodity prices and volatility in the recent years, few have examined these causal factors together in one analysis. We quantify empirically the relative importance of three factors -global demand, speculation, and energy...
Persistent link: https://www.econbiz.de/10013108661
Persistent link: https://www.econbiz.de/10010421729