The determination of optimal fines to deter the formation or continuation of cartels is a major objective of competition policy. Several recent publications have suggested that the recent fines imposed by the European Commission are too low to be dissuasive and should therefore be substantially...

Deterring the formation or continuation of cartels is a major objective of antitrust policy. We develop a dynamic framework to characterize the compensation and deterrence properties of fines, based on the fact that cartel stability depends on the ability to prevent deviation, which itself...

Corrigendum to “Are cartel fines optimal? Theory and evidence from the European Union.” The paper “Are cartel fines optimal? Theory and evidence from the European Union” can be found at 'http://ssrn.com/abstract=2342180' http://ssrn.com/abstract=2342180