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Slowdown antitrust investigations by decentralization

Emilie Dargaud () and Armel Jacques
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Emilie Dargaud: GATE Lyon Saint-Étienne - Groupe d'Analyse et de Théorie Economique Lyon - Saint-Etienne - ENS de Lyon - École normale supérieure de Lyon - Université de Lyon - UL2 - Université Lumière - Lyon 2 - UCBL - Université Claude Bernard Lyon 1 - Université de Lyon - UJM - Université Jean Monnet - Saint-Étienne - CNRS - Centre National de la Recherche Scientifique

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Abstract: When multi-product firms make simultaneous price-fixing agreements in different markets, the introduction of leniency programs may induce firms to compartmentalize their activities. Doing so results in slowdown antitrust investigations and decentralized firm can easily request leniency for a second cartel after the detection of an other. We study how variation of fine reduction may produce procompetitive but also procollusive effects.

Keywords: antitrust policy; leniency programs; multimarket contact; organizational form; Collusion (search for similar items in EconPapers)
Date: 2020
New Economics Papers: this item is included in nep-com
Note: View the original document on HAL open archive server: https://shs.hal.science/halshs-02613352v1
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