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While price-fixing cartel prosecutions have received significant attention, the policy determinants and the political ….S. antitrust cartel prosecutions during the period 1969-2013. This period has seen substantive policy innovations with increasing … penalties related to fines and jail terms. There appear to be four distinct cartel policy regimes: pre-1978, 1978-1992, 1993 …
Persistent link: https://www.econbiz.de/10013012564
and the gap between law and this particular economic theory. We explain why algorithmic tacit collusion isn't only …
Persistent link: https://www.econbiz.de/10012850941
successfully employed to discover the “Libor Scandal” much time before the opening of the cartel settlement procedure. Thus, the … London Metal Exchange, following the allegations according to which there would be an aluminium cartel behind. As a result …
Persistent link: https://www.econbiz.de/10012856714
A ‘collusion puzzle' exists by which, even though increasing the number of firms reduces the ability to tacitly collude, and leads to a collapse in collusion in experimental markets with four or more firms, in natural markets there are such numbers of firms colluding successfully. We present...
Persistent link: https://www.econbiz.de/10013059827
We experimentally study the effect of information about competitors' actions on cartel stability and firms' incentives …
Persistent link: https://www.econbiz.de/10013022876
Both in the US and in Europe, antitrust authorities prohibit merger not only if the merged entity, in and of itself, is no longer sufficiently controlled by competition. The authorities also intervene if, post merger, the market structure has changed such that "tacit collusion" or "coordinated...
Persistent link: https://www.econbiz.de/10013027879
We analyze the effects of better algorithmic demand forecasting on collusive profits. We show that the comparative statics crucially depend on the whether actions are observable. Thus, the optimal antitrust policy needs to take into account the institutional settings of the industry in question....
Persistent link: https://www.econbiz.de/10012990230
Within a simple model of differentiated oligopoly, we show that tacit collusion may be prevented by the threat of nationalising a private firm coupled with the appropriate choice of the weight given to private profits in the maximand of the nationalised company. We characterise the properties of...
Persistent link: https://www.econbiz.de/10013045206
This paper presents an experiment to test effects of sequential entry on stability of collusion in oligopoly markets. Previous research suggests that the larger the number of firms, the harder it is to sustain collusion. We find that when groups start off small and the entrant is informed about...
Persistent link: https://www.econbiz.de/10012713807
We revisit the pros and cons of cartel criminalization with focus on its possible introduction in the EU. We document a … sometimes all members of a cartel. We argue that, coupled with the non-disclosure of leniency statements and the insufficient … cartel convictions. Together with evidence on the current level of fines, this points at the need to introduce …
Persistent link: https://www.econbiz.de/10013221273