Economics, Econometrics and Finance
4 years ago

Supermarket prices stay steady, revealing hidden patterns in consumer behavior.

RePEc: Research Papers in Economics
Everyday Regular Prices
Nicoletta Berardi, Federico Ravenna, Mario Samano

Paper Summary

Prices in a European supermarket that never has sales are just as sticky as regular prices. The prices change based on demand, with small adjustments happening often. Prices for popular items and store brands are more flexible. This shows that the supermarket adjusts prices based on what customers are buying.

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