Estimating Market Power in the U.S. Copper IndustryReview of Industrial Organization (2006)
AbstractBefore 1978, most of the domestic copper production in the US and an important share of imports were traded at a price set by the major US producers. At the same time, the rest of the world was trading copper at prices determined in auction markets. This two-price system ended in 1978, when the largest US producers began using the Comex price of refined copper as a benchmark for setting their prices. Using this regime shift, I empirically test the competitive behavior of the US copper industry before 1978. The results show that copper prices were close to the levels predicted by a competitive model of the industry.
- Market Power,
- Two-Price System,
- U.S. Copper Industry
Citation InformationClaudio A. Agostini. "Estimating Market Power in the U.S. Copper Industry" Review of Industrial Organization Vol. 28 Iss. 1 (2006)
Available at: http://works.bepress.com/claudio_agostini/13/