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Price Convergence in the European Car MarketSalvador Gil-ParejaUniversity of Valencia - Department of Economics Simón Sosvilla RiveroComplutense University of Madrid November 2005 FEDEA Working Paper No. 2005-22 Abstract: This paper examines price convergence in the European Union Car market over the period 1995-2005. The results indicate that there is a clear evidence of price convergence among the EU15 countries, but not before 1999. Moreover, countries of the Economic and Monetary Union started convergence previously to the EU15 as a whole. Finally, exchange rate changes has significantly contributed to price dispersion over time across countries.
Number of Pages in PDF File: 20 Keywords: Market integration, Automobiles, European Union, Euro, Exchange rates JEL Classification: F15, F30 working papers seriesDate posted: November 14, 2005Suggested CitationContact Information
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