While several studies have examined the effects of cartels, in few instances is data available that allows us to examine post-cartel behavior. In this paper, I use data on inter-island airfares to examine the effects of an antitrust immunity agreement that allowed two airlines to coordinate...

The Department of Justice alleged American Airlines violated section 2 of the Sherman Act when it added substantial capacity to four routes after smaller rivals had entered. The case raised interesting issues relating to mechanism through which the capacity additions could have excluded...

This paper presents a simple theoretical model of the effects of airline code sharing and antitrust immunity between noncompeting carriers. When carriers without a code sharing agreement or immunized alliance price a route, a double marginalization problem arises. Immunized alliances internalize...

This article takes stock of the regulatory convergence between US antitrust law and EU competition law in the field of international air transport. The analysis draws a distinction between domestic aviation and international aviation and sets the boundaries of regulatory convergence in...

The empirical assessment of market power using conduct parameter models has the weaknesses of lacking proper grounding in oligopoly theory and typically producing inconsistent supply-side estimates. This paper develops an alternative framework for evaluating market power with a freely estimated...

Harold Demsetz once claimed that 'economics has no antitrust relevant theory of competition.' Demsetz offered this provocative statement as an introduction to an economic concept with critical implications for the antitrust enterprise: the multi-dimensional nature of competition. Competition...

The term quot;reverse paymentquot; has been used as shorthand to characterize a variety of diverse agreements between patent owners and alleged infringers that involve a transfer of consideration from the patent owner to the alleged infringer. Reverse payment settlements are particularly...

Antitrust law is undergoing a transformation that is detrimental to the interest of the general public. “Romantics” are taking over antitrust law—a fact evinced by recent public outreach instruments. This transformation is grounded in populist rhetoric that pits the “elites” (often,...

This post briefly discusses the decision of the EU General Court on Servier v. Commission (T‑691/14), the second "pay-for-delay" patent settlement case in the EU after the Lundbeck case. The 3 criteria upheld by the Court in order to determine whether the patent settlements at issue...