Assad, Stephanie;
Clark, Robert;
Ershov, Daniel;
Xu, Lei;
(2022)
Identifying Algorithmic Pricing Technology Adoption in Retail Gasoline Markets.
In:
AEA Papers and Proceedings.
(pp. pp. 457-460).
American Economic Association
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Abstract
While recent theoretical literature shows that algorithmic pricing (AP) may increase retail prices by facilitating collusive behavior, there has been no empirical evidence relating the adoption of AP technology to higher prices and/or collusion. One key reason is that information about firms' pricing technologies and their adoption of new pricing software is rarely available. In this paper, we use detailed price data from the German retail gasoline market, where AP was supposedly introduced in 2017. We show how to identify changes in pricing technology using structural breaks in pricing behaviors associated with AP.
| Type: | Proceedings paper |
|---|---|
| Title: | Identifying Algorithmic Pricing Technology Adoption in Retail Gasoline Markets |
| Event: | 134th Annual Meeting of the American-Economic-Association (AEA) |
| Location: | ELECTR NETWORK |
| Dates: | 7 Jan 2022 - 9 Jan 2022 |
| Open access status: | An open access version is available from UCL Discovery |
| DOI: | 10.1257/pandp.20221060 |
| Publisher version: | https://doi.org/10.1257/pandp.20221060 |
| Language: | English |
| Additional information: | This version is the version of record. For information on re-use, please refer to the publisher’s terms and conditions. |
| UCL classification: | UCL UCL > Provost and Vice Provost Offices > UCL BEAMS UCL > Provost and Vice Provost Offices > UCL BEAMS > Faculty of Engineering Science UCL > Provost and Vice Provost Offices > UCL BEAMS > Faculty of Engineering Science > UCL School of Management |
| URI: | https://discovery-pp.ucl.ac.uk/id/eprint/10187769 |
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