The Conversation: Petrol price cycles and signalling in the petrol industry

What can international markets tell us about whether Australian petrol price sharing arrangements are anti-competitive?

The way petrol is priced in Australia has been a perennially vexed issue.

Earlier this month, the Australian Competition and Consumer Commission (ACCC) announced it would launch an inquiry into price-sharing arrangements in the petrol industry, saying it was concerned petrol retailers could “quickly signal price movements, monitor competitors’ responses, and react to them”, reducing competition.

Follow the link to read the full article by David Byrne in The Conversation, May 2012.