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The 1914 Clayton Act prohibited any acquisition whose effect may be to “substantially” lessen competition. International Shoe defined § 7's word “substantially” by saying that an acquisition's effect is “substantial” only if it “will injuriously affect the public.” This paper...
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merger between regulated firms when cost synergies are uncertain before the merger and their realization becomes private … information of the merged firm. The optimal merger policy trades off potential cost savings against regulatory distortions from … market induces a more lenient merger policy. The regulated firms' diversification into a competitive segment of the market …
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