Testing the Market Integration Process in the European Car Sector: Evidence from Pricing-to-market Behaviour

摘要: In this study, we investigate the process of European car market integration by analysing evolution cross-country differences in degree pricing-to-market behaviour United Kingdom exporters. We estimate these country exploiting statistical information for pre-tax retail prices and export unit values. Conclusions from both independent data sets are, general, quite consistent. Results support claim that, period before Block Exemption Regulation (1400/2002) came fully into force, international price discrimination was an important source dispersion within euro area. For a more recent period, found that estimated deviations across destinations have become lower. This convergence suggests progressively improved at end last decade.