Empirical Methods in the Analysis of Collusion

Regression methods are commonly used in competition lawsuits for, e.g., determining overcharges in pricefixing cases. Technical evaluations of these methods' pros and cons are not necessarily intuitive. Appraisals that are based on case studies are descriptive but need not be universally valid....

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Publicado no:MAGKS - Joint Discussion Paper Series in Economics (Band 33-2010)
Autor principal: Paha, Johannes
Formato: Arbeit
Idioma:inglês
Publicado em: Philipps-Universität Marburg 2010
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Acesso em linha:Texto integral em PDF
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Descrição
Resumo:Regression methods are commonly used in competition lawsuits for, e.g., determining overcharges in pricefixing cases. Technical evaluations of these methods' pros and cons are not necessarily intuitive. Appraisals that are based on case studies are descriptive but need not be universally valid. This paper opens up the black box called econometrics for competition cases. This is done by complementing theoretical arguments with estimation results. These results are obtained for data that is generated by a simulation-model of a collusive industry. Using such data leaves little room for debate about the quality of these methods because estimates of, e.g., overcharges can be compared to their true underlying values. This analysis provides arguments for demonstrating that thoroughly conducted econometric analyses yield better results than simple techniques such as before-and-after comparisons.
Descrição Física:33 Seiten
ISSN:1867-3678
DOI:10.17192/es2024.0063