For many products the average price paid by consumers falls during periods of high demand. We use information from a large supermarket chain to decompose the decrease in the average price into a substitution effect, due to an increase in the share of cheaper products, and a price reduction...

The Sabre decision suggests that US courts might require a particularly high standard of proof in mergers involving claims of potential competition challenged under Section 7 of the Clayton Act. The UK enforcement system seems to have greater flexibility, which at least in part allowed the CMA...

In 2015, numerous companies offered health insurance in the United States, but there were five clear leaders in terms of revenue: UnitedHealth Group, Anthem, Aetna, Cigna, and Humana. On July 3 of that year, Aetna announced an agreement to purchase Humana for $37 billion in a combination of cash...

From 2018 to 2020, the government suffered a string of defeats in antitrust merger trials. In each of those cases, a federal district court judge rejected the government plaintiffs’ claim that the transaction would harm competition in violation of Section 7 of the Clayton Act and thus declined...

On November 14, 2018, Sabre Corporation announced an agreement to acquire Farelogix, Inc. for $360 million. Sabre is a global distribution system, a company that compiles information from airlines, supplies this information to travel agents who book flights and complete other transactions...