In most jurisdictions, antitrust fines are based on affected commerce rather than on collusive profits, and in some others, caps on fines are introduced based on total firm sales rather than on affected commerce. We uncover a number of distortions that these policies generate, propose simple...

Introduction -- The emergence of competition policy regimes -- The errors of antitrust -- The performance gap -- What is competition policy? -- Sources of error in antitrust practice -- What is different in developing and transition economies? -- The political economy of antitrust enforcement --...