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Market Structure, Marketing Method, and Price Instability

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Author Info
Slade, Margaret E

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Abstract

Data for metals sold on commodity exchanges and at prices set by producers are used to test the relationship between the organization of markets and the behavior of prices. On the production side, the question is whether prices are more stable in concentrated industries. And on the sales side, the question is whether markets where buyers are consumers have more stable prices than those with consumers and speculators. The recent increase in metal-price stability is explained by changes in the market-structure and organization variables. Foremost is increased reliance on commodity exchanges. Declines in concentration are of less importance. Copyright 1991, the President and Fellows of Harvard College and the Massachusetts Institute of Technology.

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Publisher Info
Article provided by MIT Press in its journal Quarterly Journal of Economics.

Volume (Year): 106 (1991)
Issue (Month): 4 (November)
Pages: 1309-40
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Handle: RePEc:tpr:qjecon:v:106:y:1991:i:4:p:1309-40

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  1. Slade, Margaret E., 1992. "Environmental costs of natural resource commodities : magnitude and incidence," Policy Research Working Paper Series 991, The World Bank. [Downloadable!]
    Other versions:
  2. Asplund, Marcus & Eriksson, Rickard & Friberg, Richard, 1997. "Price adjustments by a gasoline retail chain," Working Paper Series in Economics and Finance 194, Stockholm School of Economics. [Downloadable!]
    Other versions:
  3. Gilbert, Christopher L., 1995. "International commodity control : retrospect and prospect," Policy Research Working Paper Series 1545, The World Bank. [Downloadable!]
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