6533b7defe1ef96bd127660e
RESEARCH PRODUCT
Pricing to market behaviour in European car markets
Salvador Gil-parejasubject
Factor marketEconomics and EconometricsMarket segmentationFinancial economicsCurrencyMarket priceEconomicsLocal currencyPrice discriminationPrice of stabilityRobustness (economics)Financedescription
Abstract This paper investigates PTM behaviour in European car markets for a period of great interest (1993–98), taking into account the role of invoicing currency. The results indicate that local currency price stability is a strong and pervasive phenomenon across products independently of the invoicing currency. The paper offers robustness checks, tests and arguments that justify the interpretation of this finding, at least in part, as evidence of PTM. It implies the existence of market segmentation and price discrimination, despite the completion of the single market programme on 1 January 1993.
| year | journal | country | edition | language |
|---|---|---|---|---|
| 2003-12-01 | European Economic Review |