Download or read book Exclusive Dealing the Theory of the Firm and Raising Rivals Costs written by Alan J. Meese and published by . This book was released on 2008 with total page 0 pages. Available in PDF, EPUB and Kindle. Book excerpt: For several decades antitrust courts were extremely hostile to exclusive dealing agreements, banning such contracts, regardless of their benefits, whenever the manufacturer held a significant market share. The FTC went even further, banning such agreements whenever the manufacturer had a non-trivial share of its market. This article attributes the original hostility to exclusive dealing contracts to neoclassical price theory's technological theory of the firm and its derivative model of workable competition. According to price theory, firms existed to allocate resource and realize efficiencies of a technological nature that, by their nature, arose within the firm. At the same time, price theory identified no beneficial explanation for partial ᑼontractualň integration. The result was the so-called Ňworkable competitionň model, which privileged Ňunilateralň ᑼompetition on the meritsň over ᑼoncertedň ᑼontractual integration, the latter of which was presumed to have market power origins. The article then recounts two responses to this hostility. The first response, from Ňwithinň price theory, came from the Chicago School, which argued that a firm with market power could only realize one monopoly profit, with the result that exclusive dealing contracts could not ᑾnhanceň the power that a firm otherwise possessed. Unlike, say, the Chicago School account of minimum resale price maintenance, this attack on conventional wisdom offered no affirmative wealth-creating reason that firms would adopt such agreements. Instead, Chicagoans simply inferred that such agreements produced benefits because they supposedly could not create harms. The second response ő Transaction Cost Economics or TCE ő sought to undermine price theory itself, or at least its conception of the firm and other non-standard contracts. Unlike the Chicago School, TCE offered to explain how exclusive dealing within and between firms produced benefits. In particular, TCE argued that complete and partial integration was a method of reducing or eliminating the costs of relying upon unbridled markets to conduct economic activity, particularly costs flowing from anticipated opportunism. Exclusive dealing, it was said, was no exception, and economists have identified several beneficial effects that such contracts can create. Unlike the Chicago School, TCE did not contend that exclusive dealing contracts could never reduce welfare. Still, TCE helped undermine the unmitigated hostility that once characterized antitrust's attitude toward exclusive dealing contracts. Raising Rivals'Costs (RRC) theory, it is shown, filled the void left by price theory's discredited lesson that exclusive dealing agreements were almost always harmful. That is, RRC offered a coherent and plausible theory regarding how such agreements may, in certain circumstances, raise the costs of rivals and facilitate the acquisition or protection of market power. The article ends by attempting to integrate the lessons of TCE and RRC theory with a view toward developing a standard for evaluating exclusive dealing arrangements that reflects the lessons of both paradigms, neither of which purports to exclude the other as a useful tool for interpreting such agreements. The essay critiques certain aspects of modern rule reason analysis as applied to exclusive dealing arrangements. Thus, it is argued, mere significant foreclosure of rivals from portions of the marketplace should not establish a prima facie case requiring the defendant to establish that the restraint produces benefits. Nor should courts allow plaintiffs to establish a prima facie case based simply upon a showing that such contracts result in prices that are higher than those that existed before the restraint. Moreover, if courts allow plaintiffs to establish a prima facie case based upon such showings, then there is no basis for 𔞺lancingň the benefits that the defendant proves against harms that are presumed once a plaintiff makes out a prima facie case, as such balancing depends upon the assumption that benefits coexist with harms, harms not logically presumed once the defendant shows that the restraint produces significant benefits. Instead, the essay concludes, plaintiffs seeking to establish a prima facie case should be required to establish the numerous conditions, including relevant input markets, output markets, and barriers to entry, that are necessary to any raising rivals' costs strategy. Once the plaintiff establishes such a case, the defendant should be allowed to establish that the arrangement produces benefits. Those who embrace a Ňpurchaser welfareň approach to antitrust have not explained how courts should go about balancing the harms produced by such agreements against their benefits, given that such agreements might harm some consumers while benefitting others. At the same time, those who embrace a Ňsocialň or Ňtotal welfareň approach to antitrust may be content if courts declare Ňlawfulň any such agreement that produces significant benefits.

Download or read book Exclusion Collusion and Confusion written by Malcolm B. Coate and published by . This book was released on 1990 with total page 72 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book Competition Policy written by Massimo Motta and published by Cambridge University Press. This book was released on 2004-01-12 with total page 494 pages. Available in PDF, EPUB and Kindle. Book excerpt: This is the first book to provide a systematic treatment of the economics of antitrust (or competition policy) in a global context. It draws on the literature of industrial organisation and on original analyses to deal with such important issues as cartels, joint-ventures, mergers, vertical contracts, predatory pricing, exclusionary practices, and price discrimination, and to formulate policy implications on these issues. The interaction between theory and practice is one of the main features of the book, which contains frequent references to competition policy cases and a few fully developed case studies. The treatment is written to appeal to practitioners and students, to lawyers and economists. It is not only a textbook in economics for first year graduate or advanced undergraduate courses, but also a book for all those who wish to understand competition issues in a clear and rigorous way. Exercises and some solved problems are provided.

Download or read book The Antitrust Paradox written by Robert Bork and published by . This book was released on 2021-02-22 with total page 536 pages. Available in PDF, EPUB and Kindle. Book excerpt: The most important book on antitrust ever written. It shows how antitrust suits adversely affect the consumer by encouraging a costly form of protection for inefficient and uncompetitive small businesses.

Download or read book The Oxford Handbook of International Antitrust Economics written by Roger D. Blair and published by Oxford Handbooks. This book was released on 2015 with total page 665 pages. Available in PDF, EPUB and Kindle. Book excerpt: More than any other area of regulation, antitrust economics shapes law and policy in the United States, the Americas, Europe, and Asia. In a number of different areas of antitrust, advances in theory and empirical work have caused a fundamental reevaluation and shift of some of the assumptions behind antitrust policy. This reevaluation has profound implications for the future of the field. The Oxford Handbook of International Antitrust Economics has collected chapters from many of the leading figures in antitrust. In doing so, this two volume Handbook provides an important reference guide for scholars, teachers, and practitioners. However, it is more than a merely reference guide. Rather, it has a number of different goals. First, it takes stock of the current state of scholarship across a number of different antitrust topics. In doing so, it relies primarily upon the economics scholarship. In some situations, though, there is also coverage of legal scholarship, case law developments, and legal policies. The second goal of the Handbook is to provide some ideas about future directions of antitrust scholarship and policy. Antitrust economics has evolved over the last 60 years. It has both shaped policy and been shaped by policy. The Oxford Handbook of International Antitrust Economics will serve as a policy and research guide of next steps to consider when shaping the future of the field of antitrust.

Download or read book The Oxford Handbook of International Antitrust Economics Volume 2 written by Roger D. Blair and published by Oxford University Press. This book was released on 2014-11-03 with total page 665 pages. Available in PDF, EPUB and Kindle. Book excerpt: More than any other area of regulation, antitrust economics shapes law and policy in the United States, the Americas, Europe, and Asia. In a number of different areas of antitrust, advances in theory and empirical work have caused a fundamental reevaluation and shift of some of the assumptions behind antitrust policy. This reevaluation has profound implications for the future of the field. The Oxford Handbook of International Antitrust Economics has collected chapters from many of the leading figures in antitrust. In doing so, this two volume Handbook provides an important reference guide for scholars, teachers, and practitioners. However, it is more than a merely reference guide. Rather, it has a number of different goals. First, it takes stock of the current state of scholarship across a number of different antitrust topics. In doing so, it relies primarily upon the economics scholarship. In some situations, though, there is also coverage of legal scholarship, case law developments, and legal policies. The second goal of the Handbook is to provide some ideas about future directions of antitrust scholarship and policy. Antitrust economics has evolved over the last 60 years. It has both shaped policy and been shaped by policy. The Oxford Handbook of International Antitrust Economics will serve as a policy and research guide of next steps to consider when shaping the future of the field of antitrust.

Download or read book Does Antitrust Need to be Modernized written by Dennis W. Carlton and published by . This book was released on 2007 with total page 30 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book An Economic Theory of Managerial Firms written by Luca Lambertini and published by Taylor & Francis. This book was released on 2017-04-21 with total page 231 pages. Available in PDF, EPUB and Kindle. Book excerpt: The separation between ownership and control has become common practice over the last century, in most medium and large firms across the world. Throughout the twentieth century, the theory of the firm and the theory of industrial organization developed parallel and complementary views on managerial firms. This book offers a comprehensive exposition of this debate. In its survey of strategic delegation in oligopoly games, An Economic Theory of Managerial Firms is able to offer a reinterpretation of a range of standard results in the light of the fact that the control of firms is generally not in the hand of its owners. The theoretical models are supported by a wealth of real-world examples, in order to provide a study of strategic delegation that is far more in-depth than has previously been found in the literature on industrial organization. In this volume, analysis is extended in several directions to cover applications concerning the role of: managerial firms in mixed market; collusion and mergers; divisionalization and vertical relations; technical progress; product differentiation; international trade; environmental issues; and the intertemporal growth of firms. This book is of great interest to those who study industrial economics, organizational studies and industrial studies.

Download or read book Antitrust Law Journal written by and published by . This book was released on 1986 with total page 902 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book Fidelity Rebates in Competition Law written by Miroslava Marinova and published by Kluwer Law International B.V.. This book was released on 2018-11-07 with total page 226 pages. Available in PDF, EPUB and Kindle. Book excerpt: This book examines the treatment of fdelity rebates as one of the most controversial topics in EU competition law. The controversy arose from the lack of clarity as to how to distinguish between rebates that constitute a legitimate business practice and those that might have anticompetitive e?ects, as the same type of rebates could be pro-competitive or anticompetitive depending on their e?ects on competition. This book clarifes the appropriate treatment of fdelity rebates under EU competition law by o?ering original insights on the way in which abusive rebates should be identifed, taking into account the wealth of EU case law in this area, the economics' literature and the perspective of US antitrust law. The critical discussion on the case law is centred on the idea as to whether the as efcient competitor (AEC) test is an important part of the assessment of fdelity rebates and in which circumstances it could be used as one tool among others. The analysis treats such issues and topics as the following: – What motivated the EU Courts to treat fdelity rebates as illegal ‘by object'? – Why has this case law drawn so much criticism from academics and other commentators? – What can we learn from the economic theories of exclusive dealing and fdelity rebates, and whether the strict approach of the Courts can be supported by economic empirical studies? – What is the meaning attached to the notion of an ‘e?ects-based' approach as an expression of the reform of Article 102? – Why is the controversy regarding the treatment of fdelity rebates still a live issue after the Intel and the Post Danmark II judgments? – In which circumstances the price-cost test can be used as a reliable tool to distinguish between anticompetitive and pro-competitive fdelity rebates? – Can we evaluate the e?ect of fdelity rebates without necessarily carrying out a price-cost test? – Can we consider the AEC test as a single unifying test for all types of exclusionary abuses? – What can we learn about the application of the AEC test in fdelity rebate cases from the recent US case law? A concluding chapter provides an original perspective and also policy recommendations on how the abusive character of fdelity rebates should be assessed including an appropriate legal test that is administrable, creates predictability and legal certainty and minimises the risk of errors and the cost of those mistakes. This book takes a giant step towards improving the understanding of the legal treatment of fdelity rebates and understanding as to whether the treatment of fdelity rebates could be e?ects-based, without necessarily carrying out an AEC test. It will also contribute signifcantly to the practical work of enforcement agencies, courts and private entities and their advisors. book's parallel study of US and EU competition law.

Download or read book Post Chicago Developments in Antitrust Law written by Antonio Cucinotta and published by Edward Elgar Publishing. This book was released on 2002-01-01 with total page 364 pages. Available in PDF, EPUB and Kindle. Book excerpt: This work offers a critical evaluation of the Chicago approach to antitrust. The authors discuss the economic foundations of competition policy and the different ways in which both American and European competition law does - or does not - take account of economic insights.

Download or read book Antitrust Law and Economics of Product Distribution written by and published by American Bar Association. This book was released on 2006 with total page 438 pages. Available in PDF, EPUB and Kindle. Book excerpt: Antitrust Law and Economics of Product Distribution explores the economics of product distribution and examines whether the courts have formulated legal standards consistent with those economic principles - focusing on the sale of goods through dealers, distributors, and franchisees.

Download or read book Fundamentals of Antitrust Law written by Phillip Areeda and published by Wolters Kluwer. This book was released on 2011-01-01 with total page 2140 pages. Available in PDF, EPUB and Kindle. Book excerpt: The hands-on guide to antitrust issues that todayand’s courts confront most often, with guidance on developing litigation strategy, counseling clients on compliance, representing clients before regulators, and advising on mergers and acquisitions; confidently advise clients on Sherman Act compliance, Hart Scott Rodino, distribution and pricing issues, and complex commercial litigation. By Herbert Hovenkamp and Phillip E. Areeda. Now published in a single-volume with an annual update, Fundamentals of Antitrust Law, Fourth Edition provides sophisticated coverage of the topics most cited or litigated in the field. Whether you are developing litigation strategy, counseling clients on compliance, representing clients before regulators, or advising on mergers and acquisitions, Fundamentals of Antitrust Law, Fourth Edition has all the information you need, at your fingertips. Turn to this invaluable volume when: Advising clients on specific aspects to comply with the Sherman Act Developing litigation strategies Representing clients before regulators Advising clients on mergers and acquisitions Advising clients on Hart Scott Rodino Handling complex commercial litigation Handling distribution and pricing issues for clients And more Organized by issue, Fundamentals of Antitrust Law, Fourth Edition covers the full range of anticompetitive conduct, as well as procedural issues. It is keyed to the leading Areeda and& Hovenkamp treatise, Antitrust Law: An Analysis of Antitrust Principles and Their Application and includes extensive cross references, organization that follows the main work, and a thorough index that allow you to get to the information you need quickly and easily.

Download or read book Exclusionary Practices written by Chiara Fumagalli and published by Cambridge University Press. This book was released on 2018-01-11 with total page 651 pages. Available in PDF, EPUB and Kindle. Book excerpt: The most controversial area in competition policy is that of exclusionary practices, where actions are taken by dominant firms to deter competitors from challenging their market positions. Economists have been struggling to explain such conduct and to guide policy-makers in designing sensible enforcement rules. In this book, authors Chiara Fumagalli, Massimo Motta, and Claudio Calcagno explore predatory pricing, rebates, exclusive dealing, tying, and vertical foreclosure, through a blend of theory and practice. They develop a general framework which builds on and extends existing economic theories, drawing upon case law, discussions of cases and other practical considerations to identify workable criteria that can guide competition authorities to assess exclusionary practices. Along with analyses of policy implications and insights applied to case studies, the book provides practitioners with non-technical discussions of the issues at hand, while guiding economics students with dedicated technical sections with rigorous formal models.

Download or read book Federal Antitrust and EC Competition Law Analysis written by Femi Alese and published by Routledge. This book was released on 2016-12-14 with total page 635 pages. Available in PDF, EPUB and Kindle. Book excerpt: This book provides the reader with a comprehensive analysis of US Federal Antitrust and EC Competition Law. It is encyclopaedic in coverage: examining every constituent element of the law and landmark decisions from the perspectives of economics and policy goals, explaining their implications for commercial operations and advocating policy reforms where necessary.

Download or read book The Metaphysics of Market Power written by George Raitt and published by Bloomsbury Publishing. This book was released on 2019-05-02 with total page 409 pages. Available in PDF, EPUB and Kindle. Book excerpt: Australian competition law has just emerged from a significant period of reform which has seen controversial changes to the legal test to distinguish between normal competitive conduct and conduct that should be condemned. The controversy continues, arguably because the traditional legal conception of market power does not provide a useful standard in real world markets. This important new book offers a radical interpretation of market power, based on the power to manipulate. Seeing it in this way allows for positive and normative standards within which to frame a legal theory of liability for misuse of that power. The book provides suggestions to improve the forensic assessment of conduct that should be condemned as misuse of market power.

Download or read book A Framework for the Design and Implementation of Competition Law and Policy written by R. S. Khemani and published by World Bank Publications. This book was released on 1999 with total page 172 pages. Available in PDF, EPUB and Kindle. Book excerpt: A dynamic and competitive environment, underpinned by competition law policy, is an essential characteristic of successful market economies. To satisfy the growing demand for information on current approaches and practices in competition law policy, the project "Framework for the Design and Implementation of Competition Law-Policy" was initiated by the World Bank, with participation by OECD. This ensuing volume reflects the main issues that arise in design and implementation of competition law and policy in order to assist countries in developing an approach that suits their own needs and conditions. The views articulated in this publication suggest that the administration and enforcement of competition law policy should assign the greatest importance to fostering economic efficiency and consumer welfare.