EconPapers    
Economics at your fingertips  
 

Price Fixing Hits Home: An Empirical Study of US Price-Fixing Conspiracies

Margaret Levenstein and Valerie Y. Suslow
Additional contact information
Valerie Y. Suslow: Johns Hopkins University Carey School of Business

Review of Industrial Organization, 2016, vol. 48, issue 4, 361-379

Abstract: Abstract This paper analyzes a sample of Section 1, Sherman Act price fixing cases brought by the US Department of Justice between 1961 and 2013. Over 500 cartels were prosecuted during this period. The determinants of cartel formation and cartel breakup are estimated, including analysis of the impact of the discount rate, business cycles, and antitrust policy. We find that cartels are more likely to break up during periods of high real interest rates, presumably because higher interest rates are associated with greater impatience. The adoption of a stronger amnesty policy has no significant impact on cartel breakup over this period, although the results suggest some association with lower cartel formation rates.

Keywords: Cartel; Collusion; Price-fixing; Competition policy; Antitrust; Sherman Act (search for similar items in EconPapers)
Date: 2016
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (2) Track citations by RSS feed

Downloads: (external link)
http://link.springer.com/10.1007/s11151-016-9520-5 Abstract (text/html)
Access to full text is restricted to subscribers.

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:kap:revind:v:48:y:2016:i:4:d:10.1007_s11151-016-9520-5

Ordering information: This journal article can be ordered from
http://www.springer. ... on/journal/11151/PS2

Access Statistics for this article

Review of Industrial Organization is currently edited by L.J. White

More articles in Review of Industrial Organization from Springer, The Industrial Organization Society Contact information at EDIRC.
Bibliographic data for series maintained by Sonal Shukla ().

 
Page updated 2019-05-15
Handle: RePEc:kap:revind:v:48:y:2016:i:4:d:10.1007_s11151-016-9520-5