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Slowdown antitrust investigations by decentralization

Author

Listed:
  • Emilie Dargaud

    (Univ Lyon, Université Lumière Lyon 2, GATE, UMR 5824, F-69130 Ecully, France)

  • Armel Jacques

    (CEMOI TEPP-CNRS (FR2042), Université de La Réunion, Faculté de Droit et d'Economie, 15, avenue René Cassin, 97715 Saint-Denis messag cedex 9)

Abstract

When multi-product firms make simultaneous price-fixing agreements in different markets, the introduction of leniency programs may induce firms to compartmentalize their activities. Doing so results in slowdown antitrust investigations and decentralized ?rm can easily request leniency for a second cartel after the detection of an other. We study how variation of fine reduction may produce procompetitive but also procollusive effects.

Suggested Citation

  • Emilie Dargaud & Armel Jacques, 2020. "Slowdown antitrust investigations by decentralization," Working Papers 2017, Groupe d'Analyse et de Théorie Economique Lyon St-Étienne (GATE Lyon St-Étienne), Université de Lyon.
  • Handle: RePEc:gat:wpaper:2017
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    References listed on IDEAS

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    More about this item

    Keywords

    Collusion; antitrust policy; leniency programs; multimarket contact; organizational form;
    All these keywords.

    JEL classification:

    • K42 - Law and Economics - - Legal Procedure, the Legal System, and Illegal Behavior - - - Illegal Behavior and the Enforcement of Law
    • L22 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Firm Organization and Market Structure
    • L41 - Industrial Organization - - Antitrust Issues and Policies - - - Monopolization; Horizontal Anticompetitive Practices

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