accused of weak competitive pressure. This article extends the existing literature by analyzing tacit collusion of firms …

Assuming deterministic demand Liski and Montero (2006) show that forward trading is able to facilitate collusion. We … collusion harder to sustain (Rotemberg and Saloner, 1986). However, using forward contracts, firms are able to decrease the …

In this short paper, cartel behaviour is analysed with respect to the market shares of cartel members. There is some … evidence in previous theoretical and empirical research that market shares under collusion are more stable than in phases of … competition. It is shown that this can be an artifact and that market share volatility may not be used by antitrust authorities as …

We model cartel defection in markets with stochastic demand fluctuations as an investment timing problem. We show that … (i) the optimal timing of cartel defection is pro-cyclical, suggesting higher probability of competitive pricing during … counterpart, implying that market volatility facilitates collusion. The first result is consistent with the counter …

cross-industry differences in this dimension. Theory suggests several potential factors that might explain this dispersion … lower variability of the number of firms; and (2) these relationships are non-linear as suggested by theory with initial … appear to be mixed. We explore the implications of our findings for antitrust analysis. …