IDEAS home Printed from https://ideas.repec.org/p/qed/wpaper/315.html
   My bibliography  Save this paper

Disequilibrium Estimation of the Demand for Copper

Author

Listed:
  • James G. MacKinnon
  • Nancy D. Olewiler

Abstract

In this paper, we estimate the demand for refined copper in the United States, taking account of the fact that, during much of the sample period, copper supplies were rationed. The estimating technique, which is closely related to the Tobit model, is much simpler than techniques previously used to disequilibrium estimation. Our empirical results are consistent with institutional evidence of the existence of rationing. They suggest that OLS estimates of the demand for copper, which implicitly assume that the market is always in equilibrium, are severely biased.

Suggested Citation

  • James G. MacKinnon & Nancy D. Olewiler, 1978. "Disequilibrium Estimation of the Demand for Copper," Working Paper 315, Economics Department, Queen's University.
    • Handle: RePEc:qed:wpaper:315
    as

    Download full text from publisher

    To our knowledge, this item is not available for download. To find whether it is available, there are three options:
    1. Check below whether another version of this item is available online.
    2. Check on the provider's web page whether it is in fact available.
    3. Perform a search for a similarly titled item that would be available.

    Other versions of this item:

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Agostini, Claudio & Saavedra, Eduardo H., 2013. "Chile: Port congestion and efficient rationing in cargo transfer operations," Revista CEPAL, Naciones Unidas Comisión Económica para América Latina y el Caribe (CEPAL), December.
    2. Fally, Thibault & Sayre, James E., 2018. "Commodity Trade Matters," Department of Agricultural & Resource Economics, UC Berkeley, Working Paper Series qt9121v3rt, Department of Agricultural & Resource Economics, UC Berkeley.
    3. Ignatius Horstmann & Sridhar Moorthy, 2003. "Advertising Spending and Quality for Services: The Role of Capacity," Quantitative Marketing and Economics (QME), Springer, vol. 1(3), pages 337-365, September.
    4. Christopher L. Gilbert, 2024. "Is there a copper super-cycle?," Mineral Economics, Springer;Raw Materials Group (RMG);Luleå University of Technology, vol. 37(2), pages 359-380, June.
    5. Sayeh Shojaeinia, 2023. "Metal market analysis: an empirical model for copper supply and demand in US market," Mineral Economics, Springer;Raw Materials Group (RMG);Luleå University of Technology, vol. 36(3), pages 509-517, September.
    6. Claudio Agostini, 2005. "Testing for Market Power under the Two-Price System in the U.S. Copper Industry," ILADES-UAH Working Papers inv159, Universidad Alberto Hurtado/School of Economics and Business.
    7. Hubbard, R Glenn & Weiner, Robert J, 1992. "Long-Term Contracting and Multiple-Price Systems," The Journal of Business, University of Chicago Press, vol. 65(2), pages 177-198, April.
    8. Clinton Watkins & Michael McAleer, 2004. "Econometric modelling of non‐ferrous metal prices," Journal of Economic Surveys, Wiley Blackwell, vol. 18(5), pages 651-701, December.
    9. R. Glenn Hubbard & Robert J. Weiner, 1985. "Nominal Contracting and Price Flexibility in Product Markets," NBER Working Papers 1738, National Bureau of Economic Research, Inc.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:qed:wpaper:315. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Mark Babcock (email available below). General contact details of provider: https://edirc.repec.org/data/qedquca.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.