Research Brief: Estimating The Impact Of Competition

Chart image from research brief on the impact of competition on cost of paving materials
February 1, 2016

In many contexts, the existence of either inter-industry or intra-industry competitive substitutes drives down prices.  Concrete and asphalt, the two primary paving materials, can be considered substitutes because they perform a similar function for consumers. There is wide variation across states in the amount spent on these materials. This research brief explores the question: Does the presence of inter-industry competition within a state between paving material substitutes impact pavement material prices? MORE.