IDEAS home Printed from https://ideas.repec.org/a/jns/jbstat/v223y2003i6p680-711.html
   My bibliography  Save this article

Ökonometrische Analyse der Entscheidungspraxis des Bundeskartellamtes / Econometric Analysis of the Decisions of the German Federal Cartel Office

Author

Listed:
  • Lauk Martina

    (Technische Universität Darmstadt, Institut für Volkswirtschaftslehre, FG Empirische Wirtschaftsforschung und MikroÖkonometrie, Residenzschloss, Marktplatz 15, D-64283 Darmstadt)

Abstract

In economic theory there is invariably a credible defence for all corporate competition practices. For the most part, the effects on static and dynamic competition functions cannot be uniquely identified. This gives economic policymakers a certain scope of discretion, and responsible decision makers have to weigh the possible positive and negative consequences of horizontal and vertical strategies. It also raises the question of the extent to which economic theory influences the decisions of cartel authorities. This paper will survey the decisions of the German Federal Cartel Office (Bundeskartellamt or BKartA) on abusive practices and cartels. It will focus mainly on to what extent the decisions of the Bundeskartellamt can be "explained" through knowledge of the criticised "anti-competitive" practice and observable market structure features. The intention is to draw conclusions about the competition model used as a policy guideline in German Competition Law. The data presented was collected within an protracted and costly case analysis at the German Cartel Office in Bonn. The discrete-choice analysis includes 196 cases and appendant decisions in the field of abusive practices and cartels between 1985-2000. An important finding of the paper is that, besides type of anticompetitive conduct, concentrations measures and an involvement of the market leader have a significant and robust effect on the decisions of the Cartel Office. The "mechanistic" method of explanation shows a reasonably high success rate of 75,69 %.

Suggested Citation

  • Lauk Martina, 2003. "Ökonometrische Analyse der Entscheidungspraxis des Bundeskartellamtes / Econometric Analysis of the Decisions of the German Federal Cartel Office," Journal of Economics and Statistics (Jahrbuecher fuer Nationaloekonomie und Statistik), De Gruyter, vol. 223(6), pages 680-711, December.
  • Handle: RePEc:jns:jbstat:v:223:y:2003:i:6:p:680-711
    DOI: 10.1515/jbnst-2003-0604
    as

    Download full text from publisher

    File URL: https://doi.org/10.1515/jbnst-2003-0604
    Download Restriction: no

    File URL: https://libkey.io/10.1515/jbnst-2003-0604?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Bera, Anil K & Jarque, Carlos M & Lee, Lung-Fei, 1984. "Testing the Normality Assumption in Limited Dependent Variable Models," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 25(3), pages 563-578, October.
    2. Davidson, Russell & MacKinnon, James G., 1984. "Convenient specification tests for logit and probit models," Journal of Econometrics, Elsevier, vol. 25(3), pages 241-262, July.
    3. Katz, Michael L, 1987. "The Welfare Effects of Third-Degree Price Discrimination in," American Economic Review, American Economic Association, vol. 77(1), pages 154-167, March.
    4. Orme, Christopher, 1988. "The Calculation of the Information Matrix Test for Binary Data Models," The Manchester School of Economic & Social Studies, University of Manchester, vol. 56(4), pages 370-376, December.
    5. Herdzina, Klaus, 1988. "Möglichkeiten und Grenzen einer wirtschaftstheoretischen Fundierung der Wettbewerbspolitik," Beiträge zur Ordnungstheorie und Ordnungspolitik, Mohr Siebeck, Tübingen;Walter Eucken Institut, Freiburg, Germany, edition 1, number urn:isbn:9783163453111, September.
    6. Davies, Stephen W & Driffield, Nigel L & Clarke, Roger, 1999. "Monopoly in the UK: What Determines Whether the MMC Finds against the Investigated Firms?," Journal of Industrial Economics, Wiley Blackwell, vol. 47(3), pages 263-283, September.
    7. Orme, Chris, 1990. "The small-sample performance of the information-matrix test," Journal of Econometrics, Elsevier, vol. 46(3), pages 309-331, December.
    8. Stephen W. Davies & Nigel L. Driffield & Roger Clarke, 1999. "Monopoly in the UK: What determines whether the MMC finds against the investigated firms?," Journal of Industrial Economics, Wiley Blackwell, vol. 47(3), pages 263-283, September.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Haucap, Justus & Heimeshoff, Ulrich & Schultz, Luis Manuel, 2010. "Legal and illegal cartels in Germany between 1958 and 2004," DICE Discussion Papers 08, Heinrich Heine University Düsseldorf, Düsseldorf Institute for Competition Economics (DICE).

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Michael Lechner, 2000. "An Evaluation of Public-Sector-Sponsored Continuous Vocational Training Programs in East Germany," Journal of Human Resources, University of Wisconsin Press, vol. 35(2), pages 347-375.
    2. Lechner, Michael, 1995. "Effects of continuous off-the-job training in East Germany after unification," ZEW Discussion Papers 95-27, ZEW - Leibniz Centre for European Economic Research.
    3. Davidson, Russell & MacKinnon, James G., 1989. "Testing for Consistency using Artificial Regressions," Econometric Theory, Cambridge University Press, vol. 5(3), pages 363-384, December.
    4. Lechner, Michael & Smith, Jeffrey, 2007. "What is the value added by caseworkers?," Labour Economics, Elsevier, vol. 14(2), pages 135-151, April.
    5. Teresa Aparicio & Inmaculada Villanua, 2001. "The asymptotically efficient version of the information matrix test in binary choice models. A study of size and power," Journal of Applied Statistics, Taylor & Francis Journals, vol. 28(2), pages 167-182.
    6. Eichler, Martin & Lechner, Michael, 2002. "An evaluation of public employment programmes in the East German State of Sachsen-Anhalt," Labour Economics, Elsevier, vol. 9(2), pages 143-186, April.
    7. Heinz König & Michael Lechner, 1994. "Some Recent Developments in Microeconometrics - A Survey," Swiss Journal of Economics and Statistics (SJES), Swiss Society of Economics and Statistics (SSES), vol. 130(III), pages 299-331, September.
    8. Holden, Darryl & Perman, Roger, 2014. "The convenient calculation of some test statistics in models of discrete choice," SIRE Discussion Papers 2015-07, Scottish Institute for Research in Economics (SIRE).
    9. Holden, Darryl & Perman, Roger, 2014. "The convenient calculation of some test statistics in models of discrete choice," 2007 Annual Meeting, July 29-August 1, 2007, Portland, Oregon TN 2015-07, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    10. Davies, Stephen & Olczak, Matthew & Coles, Heather, 2011. "Tacit collusion, firm asymmetries and numbers: Evidence from EC merger cases," International Journal of Industrial Organization, Elsevier, vol. 29(2), pages 221-231, March.
    11. Hamilton, James D., 1996. "Specification testing in Markov-switching time-series models," Journal of Econometrics, Elsevier, vol. 70(1), pages 127-157, January.
    12. Stephen Davies & Matthew Olczak & Heather Coles, 2007. "Tacit collusion, firm asymmetries and numbers: evidence from EC merger cases," Working Paper series, University of East Anglia, Centre for Competition Policy (CCP) 2007-07, Centre for Competition Policy, University of East Anglia, Norwich, UK..
    13. Philippe Aghion & Richard Blundell & Rachel Griffith & Peter Howitt & Susanne Prantl, 2009. "The Effects of Entry on Incumbent Innovation and Productivity," The Review of Economics and Statistics, MIT Press, vol. 91(1), pages 20-32, February.
    14. Jouneau-Sion, Frederic & Torres, Olivier, 2006. "MMC techniques for limited dependent variables models: Implementation by the branch-and-bound algorithm," Journal of Econometrics, Elsevier, vol. 133(2), pages 479-512, August.
    15. Mora Rodriguez, Jhon James, 2013. "Introduccion a la teoría del consumidor [Introduction to Consumer Theory]," MPRA Paper 48129, University Library of Munich, Germany, revised 08 Jul 2013.
    16. John K. Ashton & Andrew D. Pressey, 2007. "The Regulatory Perception of the Marketing Function: an Interpretation of UK Competition Authority Investigations 1950-2005," Working Paper series, University of East Anglia, Centre for Competition Policy (CCP) 2007-, Centre for Competition Policy, University of East Anglia, Norwich, UK..
    17. Wilde, Joachim, 2008. "A simple representation of the Bera-Jarque-Lee test for probit models," Economics Letters, Elsevier, vol. 101(2), pages 119-121, November.
    18. John K. Ashton & Andrew D. Pressey, 2012. "Who Manages Cartels? The Role of Sales and Marketing Managers within International Cartels: Evidence from the European Union 1990-2009," Working Paper series, University of East Anglia, Centre for Competition Policy (CCP) 2012-11, Centre for Competition Policy, University of East Anglia, Norwich, UK..
    19. Esmeralda A. Ramalho & Joaquim J. S. Ramalho & José M. R. Murteira, 2014. "A Generalized Goodness-of-functional Form Test for Binary and Fractional Regression Models," Manchester School, University of Manchester, vol. 82(4), pages 488-507, July.
    20. Skeels, Christopher L. & Vella, Francis, 1999. "A Monte Carlo investigation of the sampling behavior of conditional moment tests in Tobit and Probit models," Journal of Econometrics, Elsevier, vol. 92(2), pages 275-294, October.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:jns:jbstat:v:223:y:2003:i:6:p:680-711. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Peter Golla (email available below). General contact details of provider: https://www.degruyter.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.