Who is exposed to gas prices? How gasoline prices affect automobile manufacturers and dealerships
Meghan R. Busse; Christopher R. Knittel; Florian Zettelmeyer;
Publisher: Center for the Study of Industrial Organization at Northwestern Univ. Evanston, Ill.
jel: jel:L9 | jel:L1 | jel:L2 | jel:Q4
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... View more
1Je Bater and Brian Blackstone, \Data Indicate Faltering Demand," Wall Street Journal, November 26, 2008; Kelly Evans and Sudeep Reddy, \Capital Spending Continues to Fall," Wall Street Journal, January 30, 2009; Richard Truett, \September was awful, and 2009 looks ugly," Automotive News, October 7, 2008.
2\Tax My Products, Please," Wall Street Journal, March 17, 2009 3Keith Crain, \After 34 years, CAFE still doesn't work," Automotive News, May 25, 2009 4Richard Truett, \Mulally: Higher gas taxes would conserve fuel," Automotive News, August 8, 2007 5\Tax My Products, Please," Wall Street Journal, March 17, 2009 6The 2006-2008 run-up in gasoline prices coincided with the Ford F-150 pickup truck losing its decades-long position as the best-selling vehicle in the U.S. to the Honda Civic, a very di erent vehicle.