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What Did Twombly Do Anyway?

Here is a very interesting empirical paper examining post-Twombly pleading from Martin Redish and Lee Epstein describing the state of affairs at the appellate court level, they write: To briefly summarize the state of the appellate doctrine on the issue: (1) two circuits (the D.C. and Federal Circuits) have concluded that Twombly has changed the ... What Did Twombly Do Anyway?

Commissioner Rosch v. Economics, Again

I’ve been critical of the Federal Trade Commission, and particularly Commissioner Rosch, for embracing what I think is a dangerously obsolete view of the role of economics in antitrust. First, it was the Section 2 Report response and before that, it was Commissioner Rosch’s observation that “any kind of economic analyses that require the use ... Commissioner Rosch v. Economics, Again

Everything you wanted to know about the Citigroup-Wachovia-Wells Fargo Debacle

Coverage of the Citigroup-Wachovia-Wells Fargo situation has revealed many fundamental misunderstandings of various aspects of the debacle, such that I wanted to offer my thoughts on a few points that have been curiously misstated: 1.           A discussion of “fiduciary outs” is a bit of a non sequitur here. Across the ‘net, legal experts have been ... Everything you wanted to know about the Citigroup-Wachovia-Wells Fargo Debacle

Exclusivity Agreements, the Bailout Act, and Section 126(c)

The Wachovia-Citigroup-Wells Fargo dance continues.  Now, however, it seems to involve confusion about Section 126(c) of the newly adopted Emergency Economic Stabilization Act (“EESA”).  Allow me to take a stab at clarifying. To bring everyone up to speed, last weekend, after Lehman was allowed to go belly-up and Washington Mutual was seized by the FDIC, ... Exclusivity Agreements, the Bailout Act, and Section 126(c)

Armen Alchian Plays Prisoners' Dilemma

Many economists know of the famous repeated prisoners’ dilemma experiments played by famous economists.  I recently came across this old post from Brad Delong with an excerpt from Poundstone (1992) which recounts a game between Armen Alchian (who should win the Nobel Prize this year) and Rand economist John Williams.  It includes comments in the margins ... Armen Alchian Plays Prisoners' Dilemma

Hazlett on Net Neutrality and Antitrust

My colleague Tom Hazlett has an interesting piece in the Financial Times chiming in on the network neutrality debate.  Hazlett makes the point that if “competitive harm” is the concern, isn’t antitrust the answer rather than regulation of this sort?  Hazlett writes: But rather than enforce such [disclosure] rules, the FCC launched regulatory attack by ... Hazlett on Net Neutrality and Antitrust

Wachovia Complaint and Status Check

The Wachovia and Citigroup litigators have been working overtime this weekend.  As I reported earlier, Citigroup convinced New York State Justice Ramos late last night to toll the expiration of the Citigroup-Wachovia exclusivity agreement that was set to expire tomorrow, October 6, 2008.  As of last night, the Exclusivity Agreement was revived through a hearing ... Wachovia Complaint and Status Check

Easterbrook (Gregg, not Frank) Up a Creek

Here’s another reason—as if you needed it—as to why getting a reasonable bailout of the mortgage-backed securities market through Congress was so difficult. Below I reproduce an analysis from Gregg Easterbrook of the Brookings Institute: Supposing we assume the bailout is required, here is what bothers me about the plan so far: Taxpayers don’t get ... Easterbrook (Gregg, not Frank) Up a Creek

Is This Finally the Year for a UCLA Economics Nobel?

Its a fall ritual here at TOTM.  Every fall when the Nobel speculation starts I make a prediction, Geoff bets the field against my prediction, and I lose.  But at least I’ve been consistent with my predictions and certainly in my rooting interests.  In 2006, I made the case for awarding the prize to Armen ... Is This Finally the Year for a UCLA Economics Nobel?

Hexion v. Huntsman: Vice Chancellor Lamb’s Must-Read Opinion For Deal Lawyers

On Monday night, Delaware Vice Chancellor Lamb issued an opinion in the epic Hexion v. Huntsman battle, ordering Hexion to perform its obligations under its 2007 agreement to acquire Huntsman.  The opinion is well worth reading for deal lawyers – it offers a good tutorial on how private equity deals can fall apart, how merger ... Hexion v. Huntsman: Vice Chancellor Lamb’s Must-Read Opinion For Deal Lawyers

Coate on Unilateral Effects at the FTC

FTC economist Malcolm Coate has posted Unilateral Effects Under the Guidelines: Models, Merits and Merger Policy to SSRN.  Here’s the abstract: This paper models FTC unilateral effects merger policy using a broad sample of 153 investigations undertaken between 1993 and 2005. Standard unilateral effects analysis proposes a range of models for competitive effects. A review ... Coate on Unilateral Effects at the FTC

Antitrust and Health Care

Barak Richman (Duke) and James Blumstein (Vanderbilt) have an interesting exchange at PENNumbra, University of Pennsylvania School of Law’s online forum for debate surrounding scholarship in the U. Penn. L. Rev.  Here’s the abstract from Professor Richman’s article: Courts reviewing proposed mergers of nonprofit hospitals have too often abandoned the bedrock principles of antitrust law, ... Antitrust and Health Care