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dc.contributor.authorHendel, Igalen_US
dc.contributor.authorNevo, Aviven_US
dc.date.accessioned2010-08-13T08:26:08Z-
dc.date.available2010-08-13T08:26:08Z-
dc.date.issued2004en_US
dc.identifier.urihttp://hdl.handle.net/10419/38644-
dc.description.abstractTemporary price reductions (sales) are common for many goods and naturally result in a large increase in the quantity sold. We explore whether the data support the hypothesis that these increases are, at least partly, due to dynamic consumer behavior: at low prices consumers stockpile for future consumption. This effect, if present, has broad economic implications. We construct a dynamic model of consumer choice, use it to derive testable predictions and test these predictions using two years of scanner data on the purchasing behavior of a panel of households. The results support the existence of household stockpiling behavior and suggest that static demand estimates may overestimate price sensitivity.en_US
dc.language.isoengen_US
dc.publisherCenter for the Study of Industrial Organization at Northwestern Univ. Evanston, Ill.en_US
dc.relation.ispartofseriesCSIO working paper 0061en_US
dc.subject.ddc330en_US
dc.titleSales and consumer inventoryen_US
dc.typeWorking Paperen_US
dc.identifier.ppn505144018en_US
dc.rightshttp://www.econstor.eu/dspace/Nutzungsbedingungen-
Appears in Collections:CSIO Electronic Working Papers, Northwestern University

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