US Antitrust Policy - Competition Law - Lecture Slides, Slides of Competition Law and Policy

Download US Antitrust Policy - Competition Law - Lecture Slides and more Slides Competition Law and Policy in PDF only on Docsity! U.S. Antitrust Policy: Cartels, Consumer Welfare and International Convergence Docsity.com Docsity.com Monopoly profits: incentive to compete • “the successful competitor, having been urged to compete, must not be turned upon when he wins” (Alcoa 1945) • “The opportunity to charge monopoly prices--at least for a short period--is what attracts "business acumen" in the first place” (Trinko 2004) Docsity.com When does the harm of market power outweigh its incentive benefits? • Collusion with no benefit – Cartel – Other conduct • Horizontal merger – If it creates market power without offsetting efficiencies • Dominant position – If it is achieved through anticompetitive conduct Docsity.com • Sherman Act Section 1: “Every contract, combination . . . or conspiracy, in restraint of trade” • Clayton Act: Merger whose effect is to “substantially lessen competition or tend to create a monopoly” • Sherman Act Section 2: “Every person who shall monopolize, or attempt to monopolize, or combine or conspire with any other person or persons, to monopolize” Docsity.com