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Should We Protect Ourselves From Dreaded Free Shipping?
In France, it has been ruled that Amazon can no longer offer free shipping on book purchases. Don’t you just love it when competition policy protects certain competitors instead of actual competition? The protected competitors here are “vulnerable small bookshops.” Last I checked, the essence of competition is that “vulnerable” or inefficient competitors are supposed ... Should We Protect Ourselves From Dreaded Free Shipping?
Competition for the Field: DVD Standard Edition
Craig Newmark highlights this offer at Amazon allowing consumers who purchase an HD-DVD player up to 10 free DVDs. Newmark cites the DVD offer as an example of upfront competition resolving standard-based coordination problems in the presence of network externalities. Of course, Blu-ray also has a free DVD offer for those purchasing a Blu-ray machine ... Competition for the Field: DVD Standard Edition
Cleaning up after Pasquale's hit job
Recently, Frank Pasquale at Concurring Opinions wrote a blog post did a drive-by hit on FTC Chairman Majoras supporting her recusal from considering the Google/DoubleClick merger now pending before the FTC.  You really have to read the post to get the full effect of the innuendo and intimation–it’s masterfully subtle. At the time I commented on ... Cleaning up after Pasquale's hit job
The Unintended Consequences of Feingold-Kyl
Gail Heriot (Right Coast) and John Fund discuss the Feingold-Kyl amendment to the pending bill which would give federal judges a long-awaited payraise amidst concerns that pay levels were to low to attract and retain a high quality judiciary. The FK amendment, as explained by Fund, “would bar any federal judge from accepting more than ... The Unintended Consequences of Feingold-Kyl
Legally Mandated RPM in the German Book Market
A story in the New York Times explains that in Germany booksellers are legally prohibited from discounting books below the price set by the publisher. It’s not clear from the story, but it thus seems that Germany has a legally-mandated system of minimum resale price maintenance. Not surprisingly, this favors small bookstores. “In the United ... Legally Mandated RPM in the German Book Market
Vertical Integration and Retail Gasoline Prices Revisited
A trio of Federal Trade Commission economists (Christopher Taylor, Paul Zimmerman, & Nicholas Kreisle) have revisited Justine Hastings’ 2004 AER analysis of the ARCO/ Thrifty vertical merger in their paper, “Vertical Relationships and Competition in the Retail Gasoline Market: Comment.” (HT: Danny Sokol). Hastings’ analysis is viewed as particularly important because it is one of ... Vertical Integration and Retail Gasoline Prices Revisited
What Happens When Attempted Collusion Fails
Harvard College decided this year not to offer a service option many of its customers want — early admission. When Harvard’s new policy was announced, the dean of admissions took care to emphasize, “We’re looking for all the company we can get.” Soon thereafter, Harvard got some company; Princeton adopted a similar policy, and a ... What Happens When Attempted Collusion Fails
Most Cited Antitrust Law Professors
Dave Hoffman aptly describes the contours of a lot of the blog debate over Brian Leiter’s citation rankings of law professors by specialty: Objection: “But you didn’t measure X…” Leiter: “True. Let a hundred flowers bloom, and do your own data collection!” I’ve got to say, I’m not sure that I really understand any of ... Most Cited Antitrust Law Professors
Keith Hylton's Antitrust World Reports
Over at Antitrustworldwiki.com, Keith Hylton has a very cool wiki project compiling antitrust laws around the world. Here’s the description: AntitrustWorldWiki.com is a collaborative database covering antitrust laws around the world. Its purpose is to provide information on the key provisions of antitrust laws in a manner that enables users of this wiki to compare ... Keith Hylton's Antitrust World Reports
Easterbrook on False Positives
I recently came across a keynote speech by Frank Easterbrook (published at 52 Emory L.J. 1297 (2003)) where he discusses Type I errors in antitrust cases. Easterbrook, of course, produced the fundamental insight for antitrust enforcement that competition itself constrained the costs associated with false negatives while false positives were likely to ripple throughout the ... Easterbrook on False Positives
Bundling Alert: Foie Gras Edition
This potentially anticompetitive bundling alert comes courtesy of Lynne Kiesling at the always wonderful Knowledge Problem. Kiesling observes that the Chicago foie gras ban has resulted in restaurants bundling salad with foie gras. I take it that the bundle circumvents the ban. Apparently, this means that consumers who want their foie gras are now coerced ... Bundling Alert: Foie Gras Edition
Starbucks, Subway, and Antitrust
A few days ago, I posted a comment about Starbucks’ recent disclosure that its average per store traffic has gone down slightly even though overall profits have gone up. I suggested a number of explanations for these phenomena consistent with a story that consumer taste for the Starbucks product has not diminished. One of these ... Starbucks, Subway, and Antitrust
