Showing archive for: “Vertical Restraints & Self-Preferencing”
Four Reasons to Reject Neo-Brandeisian Critiques of the Consumer Welfare Approach to Antitrust
In the battle of ideas, it is quite useful to be able to brandish clear and concise debating points in support of a proposition, backed by solid analysis. Toward that end, in a recent primer about antitrust law published by the Mercatus Center, I advance four reasons to reject neo-Brandeisian critiques of the consensus (at ... Four Reasons to Reject Neo-Brandeisian Critiques of the Consumer Welfare Approach to Antitrust
The FTC Did Not ‘Fumble the Future’ in Its Google Search Investigation
Politico has released a cache of confidential Federal Trade Commission (FTC) documents in connection with a series of articles on the commission’s antitrust probe into Google Search a decade ago. The headline of the first piece in the series argues the FTC “fumbled the future” by failing to follow through on staff recommendations to pursue ... The FTC Did Not ‘Fumble the Future’ in Its Google Search Investigation
Platform Self-Preferencing Can Be Good for Consumers and Even Competitors
Critics of big tech companies like Google and Amazon are increasingly focused on the supposed evils of “self-preferencing.” This refers to when digital platforms like Amazon Marketplace or Google Search, which connect competing services with potential customers or users, also offer (and sometimes prioritize) their own in-house products and services. The objection, raised by several ... Platform Self-Preferencing Can Be Good for Consumers and Even Competitors
The DOJ’s Antitrust Case Against Google: A Tough Slog, but Maybe an Intriguing Possibility?
The U.S. Department of Justice’s (DOJ) antitrust case against Google, which was filed in October 2020, will be a tough slog.[1] It is an alleged monopolization (Sherman Act, Sec. 2) case; and monopolization cases are always a tough slog. In this brief essay I will lay out some of the issues in the case and raise ... The DOJ’s Antitrust Case Against Google: A Tough Slog, but Maybe an Intriguing Possibility?
Trade Promotions in High Tech
As one of the few economic theorists in this symposium, I believe my comparative advantage is in that: economic theory. In this post, I want to remind people of the basic economic theories that we have at our disposal, “off the shelf,” to make sense of the U.S. Department of Justice’s lawsuit against Google. I ... Trade Promotions in High Tech
The Dangerous Implications of Changing Antitrust Presumptions
One of the key recommendations of the House Judiciary Committee’s antitrust report which seems to have bipartisan support (see Rep. Buck’s report) is shifting evidentiary burdens of proof to defendants with “monopoly power.” These recommended changes are aimed at helping antitrust enforcers and private plaintiffs “win” more. The result may well be more convictions, more ... The Dangerous Implications of Changing Antitrust Presumptions
Antitrustifying Contract: Thoughts on Epic Games v. Apple and Apple v. Qualcomm
In the hands of a wise philosopher-king, the Sherman Act’s hard-to-define prohibitions of “restraints of trade” and “monopolization” are tools that will operate inevitably to advance the public interest in competitive markets. In the hands of real-world litigators, regulators and judges, those same words can operate to advance competitors’ private interests in securing commercial advantages ... Antitrustifying Contract: Thoughts on Epic Games v. Apple and Apple v. Qualcomm
It’s All About What We Don’t Know
Nicolas Petit’s Big Tech and the Digital Economy: The Moligopoly Scenario provides an insightful and valuable antidote to this unease. While neither Panglossian nor comprehensive, Petit’s analysis persuasively argues that some of the concerns about the platforms are misguided or at least overstated. As Petit sees it, the platforms are not so much monopolies in ... It’s All About What We Don’t Know
Regulating Big Tech Will Hurt Small Business
The writing is on the wall for Big Tech: regulation is coming. At least, that is what the House Judiciary Committee’s report into competition in digital markets would like us to believe. The Subcommittee’s Majority members, led by Rhode Island’s Rep. David Cicilline, are calling for a complete overhaul of America’s antitrust and regulatory apparatus. ... Regulating Big Tech Will Hurt Small Business
A Law & Economics Perspective on Ruth Bader Ginsburg
With the passing of Justice Ruth Bader Ginsburg, many have already noted her impact on the law as an advocate for gender equality and women’s rights, her importance as a role model for women, and her civility. Indeed, a key piece of her legacy is that she was a jurist in the classic sense of ... A Law & Economics Perspective on Ruth Bader Ginsburg
In the Fight Against Qualcomm, Apple’s Loss is Apple’s Gain
Apple’s legal team will be relieved that “you reap what you sow” is just a proverb. After a long-running antitrust battle against Qualcomm unsurprisingly ended in failure, Apple now faces antitrust accusations of its own (most notably from Epic Games). Somewhat paradoxically, this turn of events might cause Apple to see its previous defeat in ... In the Fight Against Qualcomm, Apple’s Loss is Apple’s Gain
Rebuilding Trust in Coronaworld
Governments are beginning to lift the lockdowns they imposed to slow the spread of COVID-19. That is a good thing. But simply lifting the restrictions won’t immediately take us back to normality. For that to happen requires a massive investment in mechanisms that will rebuild trust. Prior to COVID-19, people implicitly trusted that travelling on ... Rebuilding Trust in Coronaworld
