Evaluating Coordinated E¤ects: An application to the US beer industry

Frederik Beelitz
Additional contact information
Frederik Beelitz: University of Oxford

No 114, Food Marketing Policy Center Research Reports from University of Connecticut, Department of Agricultural and Resource Economics, Charles J. Zwick Center for Food and Resource Policy

Abstract: The paper brings Friedman?s (1971) collusive game to data and investigates whether the merger between the ?fth and fourth largest brewer (G. Heileman and Stroh) of the US beer industry in the mid 1990?s had a signi?cant impact on the incentives to collude in the industry. It does so by ?rstly estimating a random coe¢ cient Logit demand system for the US beer market. In a second step the demand estimates are used to conduct a merger simulation (Davis, 2006) quantifying coordinated e¤ects of the merger. The results show that the change in the likelihood of collusion for the non merging parties was negligible, but signi?cantly increased for the merged party.

Pages: 77 pages
Date: 2009-07
References: View complete reference list from CitEc
Citations:

Downloads: (external link)
http://fmpc.uconn.edu/publications/rr/rr114.pdf (application/pdf)
Our link check indicates that this URL is bad, the error code is: 500 Can't connect to fmpc.uconn.edu:80 (No such host is known. )

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:zwi:fpcrep:114

Access Statistics for this paper

More papers in Food Marketing Policy Center Research Reports from University of Connecticut, Department of Agricultural and Resource Economics, Charles J. Zwick Center for Food and Resource Policy Contact information at EDIRC.
Bibliographic data for series maintained by ().