Perdiguero, Jordi2014-10-222014-10-2220112014-1254https://hdl.handle.net/2445/58891The analysis of vertical industry relations forms an essential element in the field of industrial organization. This paper tests hypotheses derived from transaction cost theory and the principal-agent problem in Chile’s petrol market. It shows that local competition plays an important role in the choice of a disintegrated vertical structure, and that low levels of service investment have the same effect. Conversely, the number of own-brand outlets and a high level of investment in services reduce the probability of disintegration. The paper demonstrates that vertical disintegration has a null effect on wholesale petrol prices and a positive effect on retail petrol prices of between 1.6 and 7 per cent, depending on fuel type.35 p.application/pdfengcc-by-nc-nd, (c) Perdiguero, 2011http://creativecommons.org/licenses/by-nc-nd/3.0/Equilibri (Economia)Indústria petrolieraPolítica de preusEquilibrium (Economics)Petroleum industry and tradePrices policyinfo:eu-repo/semantics/workingPaper2014-10-22info:eu-repo/semantics/openAccess