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The collection of all scholarly commentary on law, economics, and more

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The CFPA's Effect on Consumer Credit and A Wager Proposal for Professor Levitin

Professor Adam Levitin is not impressed by our prediction of the effect on consumer credit of the CFPA.  Readers might recall that, using estimates from the literature on the effect of regulatory shocks on interest rates and of the long-term debt elasticity, we offered a (in our words) “rough calculation” of the “lower bound” of ... The CFPA's Effect on Consumer Credit and A Wager Proposal for Professor Levitin

As New York goes, so goes the FTC?

The New York Times is reporting that New York’s attorney general, Andrew Cuomo, has filed an antitrust suit against Intel.  According to the report, The New York move increases the chances that the F.T.C. will take action against Intel, according to a person who was familiar with the state’s investigation but was not authorized to ... As New York goes, so goes the FTC?

PeaceHealth Should Apply Even When a Bundled Discount Results in "De Facto" Exclusive Dealing

The Ninth Circuit, whose PeaceHealth decision moved the law on bundled discounting in the right direction, recently issued another decision on bundled discounts. That decision, Masimo Corp. v. Tyco Health Care Group, L.P., threatens to limit PeaceHealth‘s effectiveness. Medical device manufacturer Masimo sued Tyco for monopolizing the market for pulse oximetry devices. A monopolization action ... PeaceHealth Should Apply Even When a Bundled Discount Results in "De Facto" Exclusive Dealing

Some Links

Get your Jones v. Harris fix from (including reactions to oral argument) the Glom and Professor Bainbridge (my earlier thoughts on some economic aspects of the decision here and here) Kenneth Anderson has been a great addition to the Volokh Conspiracy Are Microsoft, Yahoo and Google really dropping support for Net Neutrality? Krugman attacks Mankiw ... Some Links

Of Broken Windows and Broken Policy

Today the Obama administration announced with great pride that its economic stimulus plan created or saved about 650,000 jobs.  “Thank goodness!” reads the subtext.  If not for all those new and protected jobs, the unemployment numbers would be really bad! It appears no one in the administration’s economic advisory team has heard of Frédéric Bastiat.  ... Of Broken Windows and Broken Policy

Rhetoric Versus Reality, Part II

President Barack Obama, June 1, 2009: What we are not doing, what I have no interest in doing, is running GM. GM will be run by a private board of directors and management team with a track record in American manufacturing that reflects a commitment to innovation and quality. They, and not the government, will ... Rhetoric Versus Reality, Part II

Welcome New TOTM Blogger Mike Sykuta

TOTM is extremely excited to announce the latest addition to our team, Mike Sykuta.  Readers might know Mike from his guest blogging stints at Organization and Markets.  Or perhaps making Brad DeLong’s Hall of Honor.  Mike joins J.W. Verret as the second addition to blog in the last week, and we hope to announce some ... Welcome New TOTM Blogger Mike Sykuta

Merger Guidelines Symposium Conclusion

Thanks to all of our participants in the Merger Guidelines Symposium.  We hope many of you, as well as our readers, will look back over the collected posts and engage in an ongoing dialogue in the comments over the many interesting ideas raised here.  You will find all of the posts from the symposium by ... Merger Guidelines Symposium Conclusion

Revisions to the Merger Guidelines: Above All, Do No Harm

My sense is that there is no need to revise the DOJ/FTC Horizontal Merger Guidelines, with one exception.  As Greg Werden points out, “a thorough revision would take up to three years and occupy some of the agencies’ best people for a total of more than two thousand hours.” The current guidelines lay out the ... Revisions to the Merger Guidelines: Above All, Do No Harm

Fix the Supply Side

Do the Merger Guidelines need revision? No.  Thanks for having me. OK. Yes–and market definition/market shares, and in particular the effective incorporation of supply-side effects, seem to me like the most pressing issues in need of attention. Judge Posner, in the first edition of his justly celebrated Antitrust Law, noted that market definition was an ... Fix the Supply Side

"Standardizing" the Horizontal Merger Guidelines

I’m confident that my esteemed colleagues, who have far more expertise about the merger guidelines than I, will offer all sorts of terrific ideas for revising the substance of the guidelines. While I would certainly advocate a few specific changes (i.e., revise the HHI thresholds to reflect actual agency practice), I’ll leave the devilish details ... "Standardizing" the Horizontal Merger Guidelines

Herbert Hovenkamp on Revising the Merger Guidelines

Yes, the Merger Guidelines should be revised; in particular: a.  The discussion of concentration thresholds for collusion facilitating mergers must be aligned more closely with both recent case law and actual enforcement practices; otherwise they fail to provide guidance.  The current Guidelines indicate that concentrations greater than 1800 HHI and a post-merger increase exceeding 100HHI ... Herbert Hovenkamp on Revising the Merger Guidelines