We provide a novel theory of harm for resale price maintenance (RPM). In a model with two manufacturers and two retailers, we show that RPM facilitates manufacturer collusion when retailers have alternatives to selling a manufacturer's product. Because of the alternatives, manufacturers can only...

On February 2, 2017, the European Commission announced the launch on its own initiative of three sets of investigations into suspected anticompetitive behavior in online commerce.2 The three sectors inquired have been (i) consumer electronics manufacturers; (ii) video games publishers; and (iii)...