Research Papers
Inconsequential Anti-Price Gouging Laws: The Case of Hurricane Irma, with Allen, M.T. 2018.
Abstract: In September of 2017, Hurricane Irma made landfall in Southwest Florida and continued on a northerly path through both Florida and Georgia as a major storm before dissipating over Tennessee. Many residents and visitors evacuated the region by heading north. The governors of both Florida and Georgia declared States of Emergency (SOE), triggering the states’ anti-price gouging laws for products related to disaster preparation and recovery, including gasoline. Although demand for gasoline increased as people sought fuel for electricity generators and vehicles, gasoline prices were not free to adjust to the change in demand due to anti-price gouging laws after the declarations of SOE. The analysis herein strongly indicates that gasoline markets in both Georgia and Florida adjusted to Hurricane Irma’s approach up to 12 days in advance of the Florida SOE. Because market forces adjust equilibrium price well in advance of a declaration of SOE, anti-price gouging laws appear to be inconsequential.
The Effects of Government Debt and the Economic Factors that Influence Its Size.
Abstract: This study examines the question: does government debt affect economic growth? Theory suggests that countries may turn to money growth and inflation to manage debt levels, and that this in turn decreases growth in GDP. The results of this research show that, controlling for endogeneity and panel data effects, only low income countries use inflation and money growth to manage debt, while higher income countries do not. The results suggest that low income countries may use money growth and inflation as an alternative to taxation, and simultaneously borrow to finance government expenditures. Additionally, this study indicates that there is no statistically significant relationship between the level of debt/GDP and subsequent growth in GDP. However, in the short-run of five years there is some evidence of a negative relationship between the change of debt/GDP and growth in GDP in the following years, but the size of the impact is relatively small.
Price Gouging Statutes in a Hurricane: Do Market Forces Circumvent Price Controls? With Placid, R., and Allen, M.T. 2018.
Abstract: This study analyzes gasoline prices in Florida and Georgia before and after Hurricane Irma, a major weather event that affected both states in 2017. The analysis reveals that gasoline prices in both states increased and stabilized well in advance of state of emergency declarations that triggered the states’ price gouging laws. Price gouging laws thus appear to be inconsequential. Free market forces determine prices unhindered by government price controls during hurricane emergencies.
Working Papers
Democracy, Economic Freedom, and Public Debt Accumulation.
Will the Real Price-Gouging Opportunists Please Stand Up? With Claar, V., and Allen, M.T., 2018.
Insider Trading: Inevitable Market Failure, or Better Markets?
Evidence of Market Forces Trumping Regulation: Gasoline, Hurricanes, and Anti-Price Gouging Laws. With Allen, M.T., 2018.
Will the Real Price-Gouging Opportunists Please Stand Up? With Claar, V., and Allen, M.T., 2018.
Insider Trading: Inevitable Market Failure, or Better Markets?
Evidence of Market Forces Trumping Regulation: Gasoline, Hurricanes, and Anti-Price Gouging Laws. With Allen, M.T., 2018.