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Behavioral antitrust

In: Handbook of Behavioral Industrial Organization

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  • Stephen Martin

Abstract

This chapter reviews the rational economic man model and contrasts it with evidence of bounded rationality that has emerged since the last quarter of the previous century. It discusses the implications of bounded rationality for research in industrial economics, with particular attention to the analysis of predation, collusion and entry. It concludes by drawing implications for the antitrust rules toward dominant firm behavior that come out of the Matsushita and Brooke Group decisions.

Suggested Citation

  • Stephen Martin, 2018. "Behavioral antitrust," Chapters, in: Victor J. Tremblay & Elizabeth Schroeder & Carol Horton Tremblay (ed.), Handbook of Behavioral Industrial Organization, chapter 15, pages 404-454, Edward Elgar Publishing.
    • Handle: RePEc:elg:eechap:16609_15
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    Keywords

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    JEL classification:

    • L1 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance
    • L4 - Industrial Organization - - Antitrust Issues and Policies
    • D9 - Microeconomics - - Micro-Based Behavioral Economics

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