Empiricrafting
Justified Posteriors
High Prices, Higher Welfare? The Auto Industry as a Case Study
0:00
-53:59

High Prices, Higher Welfare? The Auto Industry as a Case Study

The Evolution of Market Power and the U.S. Automobile Industry

Does the U.S. auto industry prioritize consumers or corporate profits? In this episode of Justified Posteriors, hosts Seth Benzell and Andrey Fradkin explore the evidence behind this question through the lens of the research paper “The Evolution of Market Power and the U.S. Automobile Industry” by Paul Grieco, Charles Murry, and Ali Yurukoglu.

Join them as they unpack trends in car prices, market concentration, and consumer surplus, critique the methodology, and consider how competition and innovation shape the auto industry. Could a different competitive structure have driven even greater innovation? Tune in to find out!

Sponsored by the Digital Business Institute at Boston University’s Questrom School of Business. Big thanks to Ching-Ting “Karina” Yang for her help editing the episode.

-

🔗Link to the paper for this episode’s discussion:

(Full Paper) The Evolution of Market Power in the US Automobile Industry

Figures for reference:

🗞️Subscribe for upcoming episodes, post-podcast notes, and Andrey’s posts:

Discussion about this episode

User's avatar