Abstract: This study utilizes a pooled inter-country data set, finding the long-run price-elasticity falls in the range −0.55 to −0.9, depending on the choice of pooled estimators. The estimators included the OLS, within-, and between-country estimators, plus five feasible GLS estimators. Even allowing for a ten-year distributed lag on price to reflect changes in auto-efficiency characteristics, the within-country estimator yields appreciably more inelastic estimates than did the O:S estimator, which was heavily influenced by the between- or inter-country variation. This difference raises intriguing questions for future research.
Publication Year: 1983
Publication Date: 1983-07-01
Language: en
Type: article
Indexed In: ['crossref']
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Cited By Count: 210
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