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Sanctions and Leniency to Individuals, and its Impact on Cartel Discoveries: Evidence from the Netherlands

Peter Dijkstra () and Jonathan Frisch ()
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Jonathan Frisch: Charles River Associates (CRA) International

De Economist, 2018, vol. 166, issue 1, 111-134

Abstract: Abstract Many competition authorities employ a leniency programme to fight cartels. We examine the impact of the introduction of sanctions and leniency for individuals responsible for the cartel, on the number of cartel discoveries. In our empirical study of the Dutch leniency programme, we find that this did not lead to more cartels being desisted as the number of cartel discoveries decreases over time. An analysis of characteristics of cartel members shows harsher enforcement after the revision, which indicates that the decrease in cartel discoveries is in line with higher cartel deterrence. Nevertheless, the number of cartel cases involving leniency actually decreases after the revision.

Keywords: Cartels; Leniency programme; Individual sanctions; Antitrust (search for similar items in EconPapers)
JEL-codes: D43 L12 L13 L41 (search for similar items in EconPapers)
Date: 2018
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Handle: RePEc:kap:decono:v:166:y:2018:i:1:d:10.1007_s10645-017-9309-4