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Recent cases in the US (Meritor, Eisai) and in the EU (Intel ) have revived the debate on the use of price-cost tests … argue that economics alone does not justify applying a price-cost test to predation but not to loyalty discounts. Still, the …
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While the previous literature on exclusive dealing has been concerned with the question of how exclusive dealing can raise static profits, this paper analyzes the question of how exclusive dealing can be used to predate in a dynamic context. It is shown that exclusive dealing may arise even if...
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Commission Recommendation 17, are based on whether some incremental or total price in the rebate program is less than some … price of a complement, such as retailing or distribution. This suggests a different two-prong test: Does the rebate cover a … competitively significant share of a complement market? If so, what effect does the rebate have on the price that rivals have to pay …
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