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Ex ante or Ex post? When the timing of merger assessment is up to the merging firms

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  • Tropeano, Jean-Philippe

Abstract

We develop a framework in which the timing of the merger control is left to the merging firms’ discretion: before the completion of the merger (ex ante) or afterwards (ex post). We show that the choice of merger control timing by the firms always dominates the ex ante control in terms of expected consumer surplus. The choice of merger control timing also dominates the ex post control except if the expected merger outcome is very anti-competitive.

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  • Tropeano, Jean-Philippe, 2020. "Ex ante or Ex post? When the timing of merger assessment is up to the merging firms," Information Economics and Policy, Elsevier, vol. 52(C).
    • Handle: RePEc:eee:iepoli:v:52:y:2020:i:c:s0167624519300289
    DOI: 10.1016/j.infoecopol.2020.100862
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    1. Bruce A. Blonigen & Justin R. Pierce, 2016. "Evidence for the Effects of Mergers on Market Power and Efficiency," Finance and Economics Discussion Series 2016-082, Board of Governors of the Federal Reserve System (U.S.).
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