Please use this identifier to cite or link to this item: https://hdl.handle.net/20.500.14365/2282
Title: THE RATIONALE BEHIND TURKEY'S HIGH GASOLINE PRICES
Authors: Biresselioglu, Mehmet Efe
Demir, Muhittin Hakan
Ozyorulmaz, Evrim
Keywords: Gasoline pump price
Turkey
pricing regime
OLS
public policy
evaluation
Oil Prices
Economic-Activity
Increases
Feathers
Rockets
Publisher: Sage Publications Ltd
Abstract: As oil prices increase, companies experience rising costs and falling profits, leaving governments to deal with the increasing interest rate, inflation and unemployment. However, on the consumer side, the key concern of increasing oil prices is their direct impact on the gasoline pump prices. Consequently, oil price rises have always been an important part of the public debate, especially in countries experiencing high prices for gasoline, such as Turkey. After decades of high prices, Turkey has the most expensive gasoline in the world, at 2.64 $/litre as of Quarter 2 of 2013. The aim of this paper is to reveal which factors are most important in determining gasoline pump prices in Turkey. In addition, a comparison of the periods with different pricing regimes is presented in order to demonstrate the actual effects of policy changes imposed by the government. The results show that, rather than the market variables, retail pump prices are primarily determined by variables that are more of a macroeconomic nature. This conclusion suggests that these market variables are utilized by companies in the market as tools for regulating prices that can be perceived an informal automatic price regulation mechanism.
URI: https://doi.org/10.1260/0958-305X.25.8.1359
https://hdl.handle.net/20.500.14365/2282
ISSN: 0958-305X
2048-4070
Appears in Collections:Scopus İndeksli Yayınlar Koleksiyonu / Scopus Indexed Publications Collection
WoS İndeksli Yayınlar Koleksiyonu / WoS Indexed Publications Collection

Files in This Item:
File SizeFormat 
2282.pdf1.27 MBAdobe PDFView/Open
Show full item record



CORE Recommender

SCOPUSTM   
Citations

1
checked on Nov 6, 2024

WEB OF SCIENCETM
Citations

1
checked on Nov 6, 2024

Page view(s)

104
checked on Nov 11, 2024

Download(s)

100
checked on Nov 11, 2024

Google ScholarTM

Check




Altmetric


Items in GCRIS Repository are protected by copyright, with all rights reserved, unless otherwise indicated.