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This paper uses an endogenous merger formation approach in a concentrated international oligopoly to examine the … effects of trade liberalization on the nature of merger incentives (national vs. international). The effects of unilateral …. If the other country practices free trade, unilateral liberalization by a country yields international mergers whereas if …
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Merger value is frequently evaluated in single market contexts without considering possible gains stemming from firms' multimarket presence. This study concentrates on the question through which channels, and of which magnitude, mergers among multimarket firms create incremental value. We...
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Merging firms regularly argue that mergers involving capacity-constrained firms are unlikely to be anti-competitive, because the incentive for the merged firm to raise prices and reduce quantity may not be strong enough to generate slack in the capacity constraints and lead to higher prices. We...
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This paper examines whether cartel breakdown provokes a period of intensive merger activity amongst the former cartelists, designed to re-establish tacit collusion. Using a novel application of recurrent event survival analysis for a pooled sample of 84 European cartels, it finds that mergers...
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