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Dynamic Competition in Antitrust Law

The Horizontal Merger Guidelines are the intellectual cornerstone of modern antitrust law, yet they contain little discussion of innovation or dynamic competition. Although the Merger Guidelines do not constitute law merely by virtue of their promulgation by the agencies, the courts previously have accepted the revised principles that the agencies have advocated. By embracing the ... Dynamic Competition in Antitrust Law

Comments on Updating the Merger Guidelines

Of course, the Merger Guidelines need to be updated.  Except for efficiencies, they haven’t been updated in 17 years.   Lawyers and economists with a regular antitrust practice may not require an update in light of their knowledge of the 2006 Commentary, speeches and agency experience.  But, the rest of the antitrust world does.  The most ... Comments on Updating the Merger Guidelines

Robert Gertner on Revising the Guidelines

The stated purpose of the DOJ/FTC Horizontal Merger Guidelines is to “reduce the uncertainty associated with enforcement of the antitrust laws.”  The Guidelines have had limited success in achieving this goal. They generally succeed in two important dimensions and fail in one. First, the Guidelines lay out a five step analysis consisting of market definition, ... Robert Gertner on Revising the Guidelines

Merger Enforcement Without Market Definition?

The Horizontal Merger Guidelines have brought discipline to the unruly world of merger analysis; but have also accommodated advances in our understanding of the myriad ways in which firms compete and how mergers affect such competition.  However, in cases where there is better information about the effects of the merger than there is about the ... Merger Enforcement Without Market Definition?

Dennis Carlton on Revising the Merger Guidelines

1. Do the Guidelines need revision? The Horizontal Merger Guidelines have served a very valuable purpose by making horizontal merger analysis much more sensible than it was prior to the 1980s.There is much less disagreement about horizontal merger policy than there is about vertical antitrust policy so some vertical guidelines would be especially welcome. Nevertheless, ... Dennis Carlton on Revising the Merger Guidelines

Welcome From the Agencies

I think this symposium is a terrific idea and thank Josh Wright for organizing it.  As Chairman Leibowitz and AAG Varney said, we want to have as open a process as possible as we explore whether to update the HMG and, if so, how.   There can hardly be a more open place for a symposium ... Welcome From the Agencies

Welcome to the Truth on the Market Merger Guidelines Symposium

With the recent DOJ and FTC announcement that they will solicit public comment and hold joint workshops to explore the possibility of “updating” the Horizontal Merger Guidelines (“HMG”) in December 2009 and January 2010, the attention of the antitrust community has turned away from the heated Section 2 debates (the subject of our last symposium) ... Welcome to the Truth on the Market Merger Guidelines Symposium

Learning to Love Insider Trading

Today’s Wall Street Journal includes a terrific article explaining why insider trading should be deregulated. Following up on last week’s high-profile insider trading charges, George Mason economist Don Boudreaux, whose Cafe Hayek posts are essential reading, succinctly sets forth the deregulatory position (which was first and most famously articulated by Geoff’s dad, Henry Manne). Boudreaux ... Learning to Love Insider Trading

American Booksellers Association Advances Bad Antitrust Argument, But Who Can Blame Them?

The WSJ Reports that the American Booksellers Association has knocked on Christine Varney’s door at the Antitrust Division to complain about the new low prices resulting from the price war between Amazon, Target and Wal-Mart.  The complaint? In a letter dated Oct. 22, the ABA said it believes that the discount pricing—which has led to ... American Booksellers Association Advances Bad Antitrust Argument, But Who Can Blame Them?

Kenneth Feinberg Must Be Super Smart!

Back during the days when socialism was all the rage among the intelligentsia, F.A. Hayek predicted that Soviet-style central planning was destined to fail because the central planners lacked access to, and couldn’t process, all the information needed to allocate productive resources efficiently. Optimal resource allocation can occur, Hayek contended, only if resources are allocated ... Kenneth Feinberg Must Be Super Smart!

Intellectual Property, Standard Setting, and the Limits of Antitrust

[Cross-posted at TalkStandards.com, a blog devoted on standards and related issues] One of the most significant challenges facing competition policy today is defining the appropriate role of antitrust law within the context of intellectual property right licensing by standard-setting organizations (“SSOs”).  Many commentators believe it is necessary to apply the full force of the antitrust ... Intellectual Property, Standard Setting, and the Limits of Antitrust

Forget California. Command and control in spades at the Treasury

Well, he warned us.  But now that it’s here it sounds so incredible. Under the plan, which will be announced in the next few days by the Treasury Department, the seven companies that received the most assistance [from the various US government bailouts] will have to cut the cash payouts to their 25 best-paid executives ... Forget California. Command and control in spades at the Treasury