IDEAS home Printed from https://ideas.repec.org/a/taf/apeclt/v18y2011i13p1279-1283.html
   My bibliography  Save this article

Competition and dealership agglomeration in new car markets

Author

Listed:
  • Ellen Sewell

Abstract

The theoretical literature addressing firm agglomeration is rich and varied. Yet few empirical studies have been published. This article investigates the impact of competition on dealership agglomeration in new car markets in the United States. The driving distance between Dodge and Ford dealerships is used as a proxy for the extent of market agglomeration. The number of new car dealers, used car dealers and automotive service facilities are included to measure the extent of competition in the market. Both the land area and the population of the county are used as measures of market size. The geographical dimension for the market is taken to be the county, with counties included in multi-county Metropolitan Statistical Areas (MSAs) excluded from the study. The empirical results provide no support for the expectation that competition drives agglomeration.

Suggested Citation

  • Ellen Sewell, 2011. "Competition and dealership agglomeration in new car markets," Applied Economics Letters, Taylor & Francis Journals, vol. 18(13), pages 1279-1283.
  • Handle: RePEc:taf:apeclt:v:18:y:2011:i:13:p:1279-1283 DOI: 10.1080/13504851.2010.534054
    as

    Download full text from publisher

    File URL: http://www.informaworld.com/openurl?genre=article&doi=10.1080/13504851.2010.534054&magic=repec&7C&7C8674ECAB8BB840C6AD35DC6213A474B5
    Download Restriction: Access to full text is restricted to subscribers.

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. E.O. Svensson, Lars, 1994. "Why exchange rate bands? : Monetary independence in spite of fixed exchange rates," Journal of Monetary Economics, Elsevier, vol. 33(1), pages 157-199, February.
    2. Lundbergh, Stefan & Terasvirta, Timo, 2006. "A time series model for an exchange rate in a target zone with applications," Journal of Econometrics, Elsevier, vol. 131(1-2), pages 579-609.
    3. Dumas, Bernard, 1991. "Super contact and related optimality conditions," Journal of Economic Dynamics and Control, Elsevier, vol. 15(4), pages 675-685, October.
    4. Paul R. Krugman, 1991. "Target Zones and Exchange Rate Dynamics," The Quarterly Journal of Economics, Oxford University Press, vol. 106(3), pages 669-682.
    5. Dixit, Avinash, 1991. "A simplified treatment of the theory of optimal regulation of Brownian motion," Journal of Economic Dynamics and Control, Elsevier, vol. 15(4), pages 657-673, October.
    Full references (including those not matched with items on IDEAS)

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:taf:apeclt:v:18:y:2011:i:13:p:1279-1283. 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: (Chris Longhurst). General contact details of provider: http://www.tandfonline.com/RAEL20 .

    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.

    We have no references for this item. You can help adding them by using 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 RePEc Author Service 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.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.