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Who is Exposed to Gas Prices? How Gasoline Prices Affect Automobile Manufacturers and Dealerships / Meghan R. Busse, Christopher R. Knittel, Florian Zettelmeyer.

NBER Working papers Available online

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Format:
Book
Author/Creator:
Busse, Meghan R.
Contributor:
National Bureau of Economic Research.
Knittel, Christopher R.
Zettelmeyer, Florian.
Series:
Working Paper Series (National Bureau of Economic Research) no. w18610.
NBER working paper series no. w18610
Language:
English
Physical Description:
1 online resource: illustrations (black and white);
Other Title:
Who is Exposed to Gas Prices?
Place of Publication:
Cambridge, Mass. National Bureau of Economic Research 2012.
Summary:
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 different fuel economies. We investigate the implications of these effects for individual auto manufacturers, taking into account differences in manufacturers' vehicle portfolios. We also investigate effects on manufacturers' affiliated dealership networks, including effects implied by the changes in used vehicle market outcomes.
Notes:
Print version record
December 2012.

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