Advanced Search
MyIDEAS: Login

Uniform Gasoline Price Regulation: Consequences for Consumer Welfare

Contents:

Author Info

  • Michael Keeley
  • Kenneth Elzinga

Abstract

In this paper, we assess the long-run implications for consumer welfare of proposed uniform gasoline price regulation. Such regulation would allow lessee dealers to ignore the terms of their lease agreements and purchase gasoline at the 'rack' (i.e., a wholesale distribution terminal) or from whomever and wherever they choose (most typically a 'jobber', i.e., an independent distributor). We show that such regulation would harm consumer welfare by raising wholesale and retail prices without benefiting lessee dealers. Prices would increase because the proposed regulation would prohibit efficient pricing that reflects differences in costs and demand that vary by geographic area and by type of distribution. We also show that even under the assumption that price differences result solely from price discrimination, uniform price regulation will not necessarily benefit consumers or all lessee dealers.

Download Info

If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
File URL: http://www.tandfonline.com/10.1080/13571510305062
Download Restriction: Access to full text is restricted to subscribers.

As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.

Bibliographic Info

Article provided by Taylor & Francis Journals in its journal International Journal of the Economics of Business.

Volume (Year): 10 (2003)
Issue (Month): 2 ()
Pages: 157-168

as in new window
Handle: RePEc:taf:ijecbs:v:10:y:2003:i:2:p:157-168

Contact details of provider:
Web page: http://www.tandfonline.com/CIJB20

Order Information:
Web: http://www.tandfonline.com/pricing/journal/CIJB20

Related research

Keywords: Gasoline Price Regulation; Uniform Price Regulation; Gasoline Distribution; Open Supply; Rack Price; Dtw Price;

References

References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
as in new window
  1. William Comanor & Jon Riddle, 2003. "The Costs of Regulation: Branded Open Supply and Uniform Pricing of Gasoline," International Journal of the Economics of Business, Taylor & Francis Journals, vol. 10(2), pages 135-155.
Full references (including those not matched with items on IDEAS)

Citations

Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
as in new window

Cited by:
  1. Andrew Eckert & Douglas West, 2013. "Proliferation of Brewers’ Brands and Price Uniformity in Canadian Beer Markets," Review of Industrial Organization, Springer, vol. 42(1), pages 63-83, February.
  2. Yuya Sasaki & Arthur Caplan, 2008. "Matching Heterogeneous Traders in Quantity-Regulated Markets," Computational Economics, Society for Computational Economics, vol. 31(4), pages 341-362, May.

Lists

This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

Statistics

Access and download statistics

Corrections

When requesting a correction, please mention this item's handle: RePEc:taf:ijecbs:v:10:y:2003:i:2:p:157-168. See general information about how to correct material in RePEc.

For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Michael McNulty).

If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

If references are entirely missing, you can add them using this form.

If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

Please note that corrections may take a couple of weeks to filter through the various RePEc services.