|
| |
| Benjamin Eden, Maya Eden, Oscar Oflaherty and Jonah Yuen |
| |
| ''TEMPORARY SALES IN RESPONSE TO AGGREGATE SHOCKS'' |
|
| |
| |
| Using scanner data from supermarkets, we establish some stylized facts about temporary sales and argue that temporary sales play an important role in the reaction of prices to small demand shocks. We use a model in which temporary sales are reactions to aggregate shocks and the accumulation of unwanted inventories to account for our empirical findings. |
| |
| |
| Keywords: Temporary Sales, Unwanted Inventories, Sequential Trade |
JEL: D4 - Market Structure and Pricing: General
E0 - Macroeconomics and Monetary Economics: General |
| |
| Manuscript Received : Apr 09 2020 | | Manuscript Accepted : Apr 15 2020 |
|
