Teachable Moments
Don Boudreaux turns the Illinois corruption scandal into a teachable moment on rent seeking (HT: Todd Zywicki). By the way, there has never been a better time to read this. In another teachable moment story related to George Mason, my colleague Neomi Rao’s Constitutional Law students were treated to an end of the year lecture ... Teachable Moments
Clearing the Way for an Organ Market?
From the WSJ on potential legislation clearing the way for compensation to donors in the form of tax deductions: While the chilling effect of the federal ban has remained since 1994, the national transplant waiting list has more than quadrupled. This may be why organizations like the National Kidney Foundation, which has previously opposed all ... Clearing the Way for an Organ Market?
No Ovation for FTC's Latest Enforcement Theory
The Federal Trade Commission announced a puzzling complaint filed in a new consummated merger & monopolization case in the U.S. District Court for the District of Minnesota. Here’s the explanation of the case from the press release: The Federal Trade Commission today filed a complaint in federal district court challenging Ovation Pharmaceuticals, Inc.’s January 2006 ... No Ovation for FTC's Latest Enforcement Theory
Comings and Goings at the FTC Office of Policy and Planning
Congratulations to Maureen Ohlhausen, outgoing Director of the Office of Policy and Planning at the Federal Trade Commission, who is headed to a new position as Technology Policy Counsel at the Business Software Alliance, a nonprofit trade association that promotes innovation, growth, and a competitive marketplace for commercial software and related technologies. While losing Maureen ... Comings and Goings at the FTC Office of Policy and Planning
Price Discrimination is Good, Part 3
At Knowledge Problem, Michael Giberson collects anecdotal evidence on New York’s zone pricing ban, i.e. a prohibition on price discrimination. While gasoline prices are falling all over the country, the anecdotal evidence is that New York’s zone pricing ban is resulting in higher profits for retailers at the expense of consumers. Former George Mason economist ... Price Discrimination is Good, Part 3
Zywicki on the Bankruptcy and the Bailout
My colleague Todd Zywicki is in the Wall Street Journal today on the merits of bankruptcy along with some public choice: General Motors looks like a financially failed rather than an economically failed enterprise — in need of reorganization not liquidation. It needs to shed labor contracts, retirement contracts, and modernize its distribution systems by ... Zywicki on the Bankruptcy and the Bailout
Hamermesh on the Point of the Bailout
Some simple economics and common sense: Governments intervene in markets all the time — and they should, in order to make markets more competitive; to solve problems of externalities (which are ubiquitous); to resolve difficulties caused by individuals’ shortsightedness, including the spurring of innovation; and to reduce transactions costs. Where does the auto bailout fit ... Hamermesh on the Point of the Bailout
Antitrust, The Bailout, and the Coming Boom in Monopolization Enforcement
From the WSJ comes an editorial from Martin Neal Baily and Matthew Slaughter describe a forthcoming report from the Private Equity Council making the link between product market competition and productivity: A central theme of this report is the critical role that competitive product markets play in spurring productivity growth and boosting standards of living. ... Antitrust, The Bailout, and the Coming Boom in Monopolization Enforcement
Law and Economics 2.0
Readers of TOTM know that the future of law and economics is a frequent topic of discussion here, and a topic in which I am both personally invested and spend a good deal of time thinking about (see, e.g. my blog series on the future of law and economics here). Legal Pad (at CNN/Fortune Magazine) ... Law and Economics 2.0
Are We Reinvigorated Yet?
Despite rumors, slogans, and “new” conventional wisdom to the contrary (See, e.g. here, here and the Obama campaign promise to “reinvigorate merger enforcement), it is apparently not the case that the current DOJ is not interested in enforcing the antitrust laws. Perhaps it never was. This interesting interview (HT: Danny Sokol) suggests that the DOJ ... Are We Reinvigorated Yet?
American Airlines Announces New Pricing Scheme
At least, thats what the Onion (the go to source for antitrust humor, by the way) headline says: American Airlines Now Charging Fees To Non-Passengers December 1, 2008 | Issue 44•49 FORT WORTH, TX—Cash-strapped American Airlines announced a new series of fees this week that will apply to all customers not currently flying, scheduled to ... American Airlines Announces New Pricing Scheme
Should the Supreme Court Grant Cert in Rambus?
As noted, the FTC has exercised its right under 15 USC 56(a)(3) to petition for a writ of certiorari to review the judgment of the D.C. Circuit in its FTC v. Rambus. The FTC press release is here. The petition is here. The questions presented, as framed by the Commission are: 1. Whether deceptive conduct ... Should the Supreme Court Grant Cert in Rambus?
