defense in merger control. -- Managerial Incentives ; Horizontal Mergers ; Antitrust ; Productive Efficiency Gains ; Synergies …We analyze the effects of synergies from horizontal mergers on managerial incentives. In contrast to synergies …, efficiency gains resulting from managerial effort are not merger specific, i.e., they may be realized by all firms before and …

agents with incentives to cut marginal costs prior to choosing output. We stress that synergies come at a cost which possibly … leads to a countervailing incentive effect: The merged firm's principal may be induced to stifle managerial incentives in … actually reduce consumer surplus which opposes the use of an efficiency defense in merger control. …

That people respond to incentives is a common belief. This became even stronger during the course of the financial … question if and how incentives work evaluated by their impact on company performance, i.e. on market capitalization and profit … Germany), it can be proved that neither short nor long term incentives plans necessarily support the company success. It …

bargaining, leading to stronger effort incentives and higher output. However, it also reduces incentives for labor market …

bargaining, leading to stronger effort incentives and higher output. However, it also reduces incentives for labor market …

entities. For this, regulators need to assess the scope for efficiency savings at such entities using historical and forecast … data. There is, however, a moral hazard in regulated companies revealing the full scope for efficiency savings because the … regulator can then incorporate them into ever more demanding efficiency savings in future. Relatedly, unduly demanding short …