Search

Begin New Search
Proceed to Checkout

Search Results for All:
(Showing results 1 to 1 of 1)



Rockets and Feathers Revisited: Asymmetric Retail Gasoline Pricing in the Era of Market Transparency

Emmanuel Asane-Otoo and Bernhard C. Dannemann

Year: 2022
Volume: Volume 43
Number: Number 6
DOI: 10.5547/01956574.43.6.easa
View Abstract

Abstract:
In this paper, we revisit the empirical observation that prices rise like rockets when input costs increase but fall like feathers when input costs decrease. The analysis draws on a novel data set that includes daily retail prices of gasoline from 12,804 stations in Germany from January 1, 2014 to December 31, 2018. Our findings based on pooled-panel asymmetric error correction models indicate that the pattern of rockets and feathers is the norm rather than the exception. Our results further show that temporal aggregation of station-level price data leads to inaccurate inferences and could account for the inconclusive findings in the literature.





Begin New Search
Proceed to Checkout

 

© 2024 International Association for Energy Economics | Privacy Policy | Return Policy