Pricing in inflationary times- the penny drops

Ratula Chakraborty, Paul Dobson, Jonathan S. Seaton and Michael Waterson
Additional contact information
Ratula Chakraborty: Norwich Business School, University of East Anglia
Jonathan S. Seaton: Corresponding Author, Department of Economics, University of Warwick,

The Warwick Economics Research Paper Series (TWERPS) from University of Warwick, Department of Economics

Abstract: We investigate micro pricing behaviour in groceries (the UK’s most important consumer market) over eight years including the inflationary period of early 2008. We find behaviour sharply distinguished from most previous work, namely that overall basket prices rise but more individual prices fall than rise! This is consistent with retailers obscuring the fact of rising basket prices. We employ a significant new source of data that captures cross-competitor interplay in prices at a very detailed level. Unusually but importantly, our work takes into account that consumers buy baskets of goods, rather than individual products, when shopping at supermarkets.

Date: 2011
New Economics Papers: this item is included in nep-cba, nep-hme and nep-mkt
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (2)

Downloads: (external link)
https://warwick.ac.uk/fac/soc/economics/research/w ... s/2011/twerp_975.pdf

Related works:
Journal Article: Pricing in inflationary times: The penny drops (2015)
Working Paper: Pricing in inflationary times- the penny drops (2011)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:wrk:warwec:975

Access Statistics for this paper

More papers in The Warwick Economics Research Paper Series (TWERPS) from University of Warwick, Department of Economics Contact information at EDIRC.
Bibliographic data for series maintained by Margaret Nash ().