Estimating the Effects of Consumer Incentive Programs on Domestic Automobile Sales
AbstractThe authors investigate the effects of consumer sales promotion on automobile sales, the largest dollar volume durable goods category in retailing. Between 1985 and 1987, the domestic automakers offered major year-end promotions on automobiles, using low-rate financing and cash rebates to stimulate sales. This paper evaluates the sales patterns for 1983 through 1987, explicitly estimating the effects of the incentive programs. The analysis indicates that the 1985 and 1986 promotional campaigns were quite successful, but that the 1987 campaign was largely ineffective. The 1986 and 1987 promotions were also followed by large postpromotion drops in sales.
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Bibliographic InfoArticle provided by American Statistical Association in its journal Journal of Business and Economic Statistics.
Volume (Year): 10 (1992)
Issue (Month): 4 (October)
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Web page: http://www.amstat.org/publications/jbes/index.cfm?fuseaction=main
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- Mazzanti, M. & Musolesi, A., 2013. "Economic development and CO2 emissions: assessing the effect of policy and energy time events for advanced countries," Working Papers 2013-11, Grenoble Applied Economics Laboratory (GAEL).
- Abbas Valadkhani & Allan P. Layton, 2003. "Quantifying the Effect of GST on Inflation in Australia’s Capital Cities: An Intervention Analysis," School of Economics and Finance Discussion Papers and Working Papers Series 153, School of Economics and Finance, Queensland University of Technology.
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