Thursday, October 14, 2010
Posted by D. Daniel Sokol
Nicolas Petit (University of Liege) discusses The Economics of Parallel Trade – Iconoclast Views on a Dogma of EU Competition Law.
ABSTRACT: This paper attempts to demonstrate that whilst parallel trade (also referred to as “grey market trade” in the United States, or as “arbitrage” in economic theory) in the European Union is subject to a remarkably favourable legal regime, the economic case supporting this approach remains to be made. To this end, it shows that the position of the EU Courts, and more generally of the EU institutions, is far from unquestionable in light of the relevant economic literature.