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The critical loss test proposed by Barry Harris and Joseph Simons has become popular in helping define U.S. antitrust markets. The test commonly leads to large, inclusive markets. We show that it is problematic, for several reasons.
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. Hence, the strength of the network effect influences the pricing strategy of the platform as a whole, potentially creating … example placing caps on interchange fees. One could think of consequences of regulation on platform pricing as a balloon full … capping interchange fees and the overall effect on consumer welfare, efficiency and competition? What does economic theory and …
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Conventional wisdom presumes that a supplier in a monopolistic market, or in an oligopolistic market that is not perfectly competitive, has the power to charge a supra-competitive wholesale price. In contrast, elaborating on recent economics studies, this Article shows that the supplier of an...
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deviations in market structure from global competition, implicitly assumed in Dosi et al. (2017b). This extension makes it … possible to disentangle the effects of two modes of competition: the global competition for sales and the localised competition … intensive local competition. Our model also contests the conventional wisdom derived from a general equilibrium setting that …
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attempt to equalize competition among mobile wireless competitors. In this Bulletin, we review the Justice Department … not be directed at equalizing competition among competitors, but the DOJ's recommendation is plainly aimed at doing so. We …
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competition in the grocery trade. Market investigations of the sector have been launched in several Member States, and there have … practitioners have been under pressure to find out in what ways competition rules may be used to limit these practices. The goal of … this paper is to give a comprehensive overview of the competition law issues that might arise in the context of private …
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While competition between firms producing substitutes is well understood, less is known about rivalry between … to raise prices, even if all browser competition exits. This may seem surprising since it runs counter to the traditional … price of B, or to act as a Stackelberg leader. We find a small gain from pricing first, but much greater profits from adding …
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