Evaluating Mergers for Coordinated Effects and the Role of 'Parallel Accommodating Conduct'
AbstractThe 2010 Horizontal Merger Guidelines propose a form of coordinated effects, referred to as "parallel accommodating conduct," that is claimed not to involve the usual evaluation of the ability of firms to detect compliance and punish non-compliance with respect to supracompetitive prices. That claim is argued here to be false. Where the concept of parallel accommodating conduct is valid and constructive is in identifying coordinated effects that do not involve firms having an agreement. These issues are explored here in the context of a more general examination of how firms coordinate on and implement supracompetitive outcomes.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoPaper provided by The Johns Hopkins University,Department of Economics in its series Economics Working Paper Archive with number 601.
Date of creation: Jul 2012
Date of revision:
This paper has been announced in the following NEP Reports:
- NEP-ALL-2012-08-23 (All new papers)
- NEP-COM-2012-08-23 (Industrial Competition)
- NEP-HME-2012-08-23 (Heterodox Microeconomics)
- NEP-IND-2012-08-23 (Industrial Organization)
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Russell Cooper & Douglas V. DeJong & Robert Forsythe & Thomas W. Ross, 1989. "Communication in the Battle of the Sexes Game: Some Experimental Results," RAND Journal of Economics, The RAND Corporation, vol. 20(4), pages 568-587, Winter.
- Lu, Yuanzhu & Wright, Julian, 2010. "Tacit collusion with price-matching punishments," International Journal of Industrial Organization, Elsevier, vol. 28(3), pages 298-306, May.
- Christoph Engel, 2006. "How Much Collusion. A Meta-Analysis On Oligopoly Experiments," Working Paper Series of the Max Planck Institute for Research on Collective Goods 2006_27, Max Planck Institute for Research on Collective Goods.
- Stephen Davies & Matthew Olczak & Heather Coles, 2007. "Tacit Collusion, Firm Asymmetries and Numbers: Evidence from EC Merger Cases," Working Papers 07-7, Centre for Competition Policy, University of East Anglia.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (None) The email address of this maintainer does not seem to be valid anymore. Please ask None to update the entry or send us the correct address.
If references are entirely missing, you can add them using this form.