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Abuse of Market Power

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  • John Vickers

Abstract

How should competition law deal with anti-competitive behaviour by firms with market power? In the light of recent EC and US cases, this is perhaps the most controversial current issue for competition policy. Lax policy would jeopardise the competitiveness of markets, but rigid policy would chill pro-competitive, pro-consumer conduct. This paper gives an economic assessment of evolving legal standards in the area. The importance of developing a stronger economic basis for EC law on abuse of market dominance is stressed. Copyright 2005 Crown copyright.

Suggested Citation

  • John Vickers, 2005. "Abuse of Market Power," Economic Journal, Royal Economic Society, vol. 115(504), pages 244-261, June.
  • Handle: RePEc:ecj:econjl:v:115:y:2005:i:504:p:f244-f261
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    Cited by:

    1. Christoph Kleineberg & Thomas Wein, 2015. "Relevance and Detection Problems of Margin Squeeze – The Case of German Gasoline Prices," Working Paper Series in Economics 355, University of Lüneburg, Institute of Economics.
    2. Kaplow, Louis & Shapiro, Carl, 2007. "Antitrust," Handbook of Law and Economics, Elsevier.
    3. John Vickers, 2010. "Competition Policy and Property Rights," Economic Journal, Royal Economic Society, vol. 120(544), pages 375-392, May.
    4. Christoph Kleineberg & Thomas Wein, 2017. "Verdrängungspreise an Tankstellen?," Working Paper Series in Economics 375, University of Lüneburg, Institute of Economics.
    5. Mark Armstrong, 2005. "Recent Developments in the Economics of Price Discrimination," Industrial Organization 0511004, EconWPA.
    6. Massimiliano Vatiero, 2015. "Dominant market position and ordoliberalism," International Review of Economics, Springer;Happiness Economics and Interpersonal Relations (HEIRS), vol. 62(4), pages 291-306, December.
    7. Zhiyong Liu & Yue Qiao, 2012. "Abuse of Market Dominance Under China’s 2007 Anti-monopoly Law: A Preliminary Assessment," Review of Industrial Organization, Springer;The Industrial Organization Society, vol. 41(1), pages 77-107, August.
    8. Liliane Karlinger & Massimo Motta, 2007. "Exclusionary Pricing and Rebates When Scale Matters," Economics Working Papers ECO2007/30, European University Institute.
    9. Alberto Iozzi & Roberta Sestini & Edilio Valentini, 2006. "Pricing Discretion and Price Regulation in Competitive Industries," Journal of Regulatory Economics, Springer, pages 151-165.
    10. Arndt Christiansen and Wolfgang Kerber & Wolfgang Kerber, 2006. "Competition Policy with Optimally Differentiated Rules Instead of "Per se Rules vs. Rule of Reason"," Marburg Working Papers on Economics 200606, Philipps-Universität Marburg, Faculty of Business Administration and Economics, Department of Economics (Volkswirtschaftliche Abteilung).
    11. repec:kap:ejlwec:v:44:y:2017:i:1:d:10.1007_s10657-014-9459-7 is not listed on IDEAS
    12. Ganslandt, Mattias, 2008. "Intellectual Property Rights and Competition Policy," Working Paper Series 726, Research Institute of Industrial Economics.
    13. Wang, Xiuqing & Weldegebriel, Habtu T. & Rayner, Anthony J., 2006. "Price Transmission, Market Power and Returns to Scale," Working Papers 46004, Scotland's Rural College (formerly Scottish Agricultural College), Land Economy & Environment Research Group.
    14. Balmer, Roberto E., 2014. "Competition and market strategies in the Swiss fixed telephony market," 20th ITS Biennial Conference, Rio de Janeiro 2014: The Net and the Internet - Emerging Markets and Policies 106837, International Telecommunications Society (ITS).
    15. Simshauser, Paul & Whish-Wilson, Patrick, 2017. "Price discrimination in Australia's retail electricity markets: An analysis of Victoria & Southeast Queensland," Energy Economics, Elsevier, vol. 62(C), pages 92-103.
    16. John Vickers, 2007. "Some Economics of Abuse of Dominance," Economics Series Working Papers 376, University of Oxford, Department of Economics.
    17. Stefano Colombo, 2010. "Discriminatory Prices, Predation and Signal-Jamming in a Horizontal Differentiation Model," Journal of Industry, Competition and Trade, Springer, vol. 10(2), pages 87-104, June.

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