A challenge for many cartels is avoiding a destabilizing increase in non-cartel supply in response to having raised … price. In the case of the German cement cartel that operated over 1991-2002, the primary source of non-cartel supply was … imports from Eastern European cement manufacturers. Industry sources have claimed that the cartel sought to control imports by …

We hypothesize a particular source of cartel instability and explore its relevance to understanding cartel dynamics …. The cartel instability is rooted in the observation that, upon cartel formation, the relative positions of firms are often … fixed which may lead some growthconscious members to be discontent. This incongruity between a cartel member’s allocated …

because of internal collapse or they are caught and convicted by the antitrust authority. The likelihood that a cartel, once … analysis, the impact of a leniency program on the steady-state cartel rate is investigated. Holding the enforcement policy of … provided by the leniency program induces the antitrust authority to prosecute a smaller fraction of cartel cases identified …

In the context of an infinitely repeated capacity-constrained price game, we endogenize the composition of a cartel … when firms are heterogeneous in their capacities. When firms are sufficiently patient, there exists a stable cartel … involving the largest firms. A firm with sufficiently small capacity is not a member of any stable cartel. When a cartel is not …

Motivated by recent cartel practices, a stable collusive agreement is characterized when firms' prices and quantities … and then make transfers within the cartel based on these reports. The properties of this equilibrium fit well with the … cartel agreements used in a number of markets including citric acid, lysine, and vitamins. …