Leder integration till priskonvergens - En analys av de europeiska bilmarknaderna

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This study attempts to examine the existence and development of price differences in the car sector in Europe. The time period is between 1995, the year of the Swedish entrance in the European Union, and 2003. The study is based on data supplied by the European commission, on a bi-annual basis. Both price differences in general in the EU, and price differences between Sweden and other countries in the EU are examined. The theoretical law of one price is related to the economic integration of the EU and the car sector. The existence and development of price differences is influenced by changes in exchange rates. The result of the study is that arbitrage gains from parallel import exist. For Swedes the best country to import from is Denmark, while Germany is expensive. The pric...