Political polarization and price dispersion: recent evidence from the airline industry during COVID-19

被引:1
作者
Chen, Jihui [1 ,2 ]
机构
[1] Illinois State Univ, Dept Econ, Normal, IL USA
[2] Illinois State Univ, Dept Econ, Normal, IL 61790 USA
关键词
Price dispersion; political polarization; COVID-19; airline; L11; L93; COMPETITION;
D O I
10.1080/13504851.2023.2289417
中图分类号
F [经济];
学科分类号
02 ;
摘要
This paper analyzes the relationship between price dispersion and political polarization of the endpoint states on a given route during the COVID-19 pandemic. The sample includes ticket information from the DB1B database between 2020:Q1 and 2021:Q4. The fixed-effect panel instrument variable (IV) estimation finds evidence of increased price dispersion on routes connecting states led by a Republican governor than those linking Democrat-led states. My analysis adds to the literature by exploiting the impact of political factors (i.e. demand shocks triggered by the COVID-19 policy interventions) on price dispersion using the latest data.
引用
收藏
页码:817 / 824
页数:8
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