Exchange Rate and Medium Distillates Distribution Margins

In the European petroleum products markets, there is a strong evidence of links between the domestic consumer prices and the international spot prices of Rotterdam. In this paper, we study the German and French domestic fuel markets. The econometric methodology is based on the vector error correction models (VECM) which include the possibility of structural changes linked to the Gulf War.

INDJEHAGOPIAN, J.P., LANTZ, F. and SIMON, V. (1998). Exchange Rate and Medium Distillates Distribution Margins. ESSEC Business School.