Skip to main content
U.S. Department of Energy
Office of Scientific and Technical Information

Note on predatory vertical integration in the US petroleum industry

Journal Article · · J. Econ. Bus.; (United States)
OSTI ID:6529135
The economic theory of vertical integration that provides the foundation for much of the policy action presently under consideration for the US petroleum industry suggests that the expansion paths followed by the refineries of the integrated and nonintegrated firms will differ in a predictable fashion. A simple empirical test of the relevant hypothesis finds that the observed behavior of the firms in this industry does not support this theory of vertical integration. Although subject to certain qualifications, this finding sheds doubt on the efficacy of current policies directed toward vertical divestiture. 21 references.
Research Organization:
Univ. of Tennessee, Knoxville
OSTI ID:
6529135
Journal Information:
J. Econ. Bus.; (United States), Journal Name: J. Econ. Bus.; (United States) Vol. 33:3; ISSN JEBUD
Country of Publication:
United States
Language:
English