Measuring Market Power in Gasoline Retailing: A Market- or Station Phenomenon?
MetadataShow full item record
- Discussion papers (FOR) 
Applying detailed consecutive daily micro data at the gasoline station level from Sweden we estimate a structural model to uncover the degree of competition in the gasoline retail market. We find that retailers do exercise market power, but despite the high upstream concentration, the market power is very limited on the downstream level. The degree of market power varies with both the distance to the nearest station and the local density of gasoline stations. A higher level of service tends to raise a seller’s market power; self-service stations have close to no market power. Contractual form and brand identity also seem to matter. We find a clear result: local station characteristics significantly affect the degree of market power. Our results indicate that local differences in station characteristics can more than offset the average market power found for the whole market.
Showing items related by title, author, creator and subject.
Twea, Pakwanja Desiree (Master thesis, 2017)The role of markets in influencing food security cannot be overemphasized. Therefore it is important to understand how policies aimed at influencing market policy have performed. This paper studies how market liberalization ...
Market power in the market for greenhouse gas emission permits : the interplay with the fossil fuel markets Hagem, Cathrine; Mæstad, Ottar (Working Paper, Working paper, 2002-12)Implementation of the Kyoto Protocol is likely to leave Russia and other Eastern European countries with market power in the market for emission permits. Ceteris paribus, this will raise the permit price above the competitive ...
Nordic Power market integration : a market based approach to the price effects of increased Nordic continental power trade in the Nordic market Boge, Mathias Krogh (Master thesis, 2012)Based on historical market data for 2011 this thesis models estimated effects that increased Nordic-Continental power trade potential would have had on trade and on Nordic prices during this year. The model used differs ...