The academic literature on loyalty discounts and exclusive dealing demonstrates that the welfare effects of these practices are ambiguous and that market details determine the direction of the effect. Assaf Eilat, Jith Jayaratne, Janusz Ordover (Compass Lexecon) & Greg Shaffer (University of...

In his recent paper entitled “How Loyalty Discounts Can Perversely Discourage Discounting,” Professor Einer Elhauge argues that exclusive contracts with loyalty discounts offered by a single incumbent seller can create anticompetitive effects in a broad range of settings. In this comment we...

The 2010 US Horizontal Merger Guidelines offer a substantially modified framework for evaluating coordinated effects. Can we rationally anticipate that this will stimulate the same boom in the antitrust economics of coordinated merger effects as that spurred by the unilateral effects section in...