Autor/a

Juan Luis Jiménez (Universidad de Las Palmas de Gran Canaria)

Coautor/es

José Manuel Ordóñez-de-Haro (Universidad de Málaga)

Jordi Perdiguero (Universidad Autónoma de Barcelona)

Empirical literature on petrol market shows clear evidence on a reduced level of effective

competition in this market around the world. In this paper we try to evaluate whether

touristic activity enhance competition among retailers. Using an own elaborated dataset

that includes daily prices for all petrol stations located in mainland Spain and Balearic

Islands (more than 7,000) for two years (2013 and 2014), this paper attempts to quantify

some effects of tourism on local destination retail petrol markets. Our estimations prove

two main effects: first, petrol prices are around 1.4 cents € more expensive in touristic cities

than in non-touristic ones; and second, that the more touristic is the city, the higher the

price. These results support the idea that touristic demand diminishes the low competition

that it actually exists in this market.

Palabras clave: Petrol market, touristic cities, Spain