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We investigate the impact of cartel breakdowns on merger activity. Merging information on cartel cases decided by the … European Commission (EC) between 2000 and 2011 with a detailed data set of worldwide merger activity, we find that, first, the … average number of all merger transactions increase by up to 51 percent when comparing the three years before the cartel …
Persistent link: https://www.econbiz.de/10009751721
outcomes, and recommends tighter merger regulation. Since the works of both have been used to support more aggressive antitrust …
Persistent link: https://www.econbiz.de/10012944581
Non-controlling minority shareholdings in rivals (NCMS) lower the sustainability of collusion under a wide variety of circumstances. Nevertheless, NCMS are sometimes deemed to facilitate collusion, in particular if the level of NCMS is exogenous. The present paper endogenizes firms' choice of...
Persistent link: https://www.econbiz.de/10012287557
Non-controlling minority shareholdings in rivals (NCMS) lower the sus- tainability of collusion under a wide variety of circumstances. Nevertheless, NCMS are sometimes deemed to facilitate collusion, in particular if the level of NCMS is exogenous. The present paper endogenizes firms' choice of...
Persistent link: https://www.econbiz.de/10011992347
It is hard to assess the coordinated effect of mergers in solid and convincing fashion, in part because economic theory … using three indicators to determine whether and how a merger affects the probability of collusion. An example of application … of this approach to a real-world case (the AT&T/T-Mobile merger) is provided …
Persistent link: https://www.econbiz.de/10014153248
. Firms' assets are product varieties that can be sold individually or entirely transferred to another firm in a merger. We … for merger policy …
Persistent link: https://www.econbiz.de/10014068549
This is a survey of the economic principles that underlie antitrust law and how those principles relate to competition policy. We address four core subject areas: market power, collusion, mergers between competitors, and monopolization. In each area, we select the most relevant portions of...
Persistent link: https://www.econbiz.de/10014023495
The prohibition of certain types of anticompetitive unilateral conduct by firms possessing a substantial degree of market power is a cornerstone of competition law regimes worldwide. Yet notwithstanding the social costs of monopoly modern legal regimes refrain from prohibiting it outright....
Persistent link: https://www.econbiz.de/10014045843
of a merger review. We focus on the three necessary conditions for a coordinated effect to arise post-merger: (i) firms … government (external stability conditions). We subsequently discuss the relevance of considering the merger-specificity of …
Persistent link: https://www.econbiz.de/10014258320
This article finds that non-controlling minority shareholdings among competitors lower the sustainability of collusion. This is the case under an even greater variety of situations than was indicated by earlier literature. The collusion destabilizing effect of minority shareholdings is mainly...
Persistent link: https://www.econbiz.de/10011524013