Home > Research > Publications & Outputs > Explaining time variation in geographic price d...

Research

Associated organisational units

Electronic data

  • PriceDispersion_20190214

    Rights statement: This is an Accepted Manuscript of an article published by Taylor & Francis in Applied Economics on 21/03/2019, available online: https://www.tandfonline.com/doi/full/10.1080/00036846.2019.1593941

    Accepted author manuscript, 776 KB, PDF document

    Available under license: CC BY-NC: Creative Commons Attribution-NonCommercial 4.0 International License

Links

Text available via DOI:

Keywords

View graph of relations

Explaining time variation in geographic price dispersion

Research output: Contribution to Journal/Magazine › Journal article › peer-review

Published
<mark>Journal publication date</mark>1/07/2019
<mark>Journal</mark>Applied Economics
Issue number42
Volume51
Number of pages13
Pages (from-to)4629-4641
Publication StatusPublished
Early online date21/03/19
<mark>Original language</mark>English

Abstract

The pattern of price dispersion significantly varies over time and across locations. Using a detailed dataset with product-level retail prices, we examine the role of time-varying factors in shaping the time variation of price dispersion. We find that price dispersion variation in an integrated region is mainly driven by oil prices, while the variation in a segmented region is attributed to dispersion in real income. We also find that dispersion in value-added tax rates explains a significant portion of price dispersion fluctuations in both geographic dimensions. This paper offers new evindence on the trade-off that exists for the role of time-varying factors as contributors to price dispersion variation by highlighting their relative importance across different dimensions of economic geography. 

Bibliographic note

This is an Accepted Manuscript of an article published by Taylor & Francis in Applied Economics on 21/03/2019, available online: https://www.tandfonline.com/doi/full/10.1080/00036846.2019.1593941