Tuesday, September 23, 2008
Posted by D. Daniel Sokol
The WSJ has an article in today's paper on a DOJ investigation into egg producers and California tomato processors. Collusion in agriculture is not surprising given high concentration in the industry and low levels of substitutability of products, among other reasons.
One big takeaway of agriculture issues in antitrust is that competition policy affects the way firms in agricultural production behave as much as how they relate to other sectors in the economy, and may prove to be an important tool in helping develop a dynamic agricultural sector.