Projects

Price Behavior

Research Theme: Globalization

Project Objective Statement: Explain price behavior, identify the causative factors, estimate various elasticities, and build models for understanding price movements in the pulp and paper industry.

Project summary: Significant and unpredictable pulp and paper price movements have had a number of serious consequences for the pulp & paper industry, including excess capacity, unintended inventory build-up, and financial losses. And in the long term, unanticipated price movements will threaten the economic viability of the industry.

The primary focus of this project is pulp and paper product price. The general objective is to advance academic research on price behavior using modern econometric methods, and to enhance the industry's understanding of past and, by extension, future price movements in the pulp and paper industry. Specifically, we will build statistical price behavior models for various segments of the industry in order to explain price behavior, identify the causative factors, and estimate price elasticities.

Contact: Prof. Haizheng Li, School of Economics, Georgia Institute of Technology
Tel: 404 894-3542

haizheng.li@econ.gatech.edu

Planned Duration: 3 years; started in Fall 2001