Post-Cartel Pricing during Litigation (Global Competition Litigation Review, forthcoming)
نویسنده
چکیده
This paper is a non-technical summary of Harrington (2004). Standard methods for calculating antitrust damages in price-fixing cases are shown to create a strategic incentive for firms to price excessively high during the post-cartel phase which causes an overestimate of the but for price and an underestimate of the level of damages. The extent to which damages are underestimated is greater, the longer the cartel was in place and the more concentrated is the industry.
منابع مشابه
Post-cartel Pricing during Litigation
Standardmethods in theU.S. for calculating antitrust damages in pricefixing cases are shown to create a strategic incentive for firms to price above the non-collusive price after the cartel has been dissolved. This results in anoverestimate of thebut for price and anunderestimate of the level of damages. The extent of this upward bias in the but for price is greater, the longer the cartel was i...
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