Integration in Gasoline and Ethanol Markets in Brazil over Time and Space under the Flex-fuel Technology
利用近十年巴西各州周度价格数据，研究发现超过一半的燃料价差是平稳的，且价格收敛速度受州间距离、甘蔗厂密度差异和税收制度相似性影响，而人口密度、加油站密度等不显著。
We employ a pair-wise approach to analyse regional integration in the gasoline and ethanol markets in Brazil. Using weekly price data for these two fuels at the state level over a period of almost ten years, we find that more than half of the fuel price differentials are stationary, which reveals the importance of allowing for spatial considerations when testing for market integration. We also find that the speed at which prices converge to the long-run equilibrium depends upon the distance between states, the differential in sugarcane mills density between states, and the similarity between tax regimes. Other demand and supply factors such as population density, gas stations density, sugarcane mills density and GDP per capita are not statistically significant.