A Critical Evaluation of the FTC's Theory of Product Hopping as a Way to Promote Competition

Dennis W. Carlton, University of Chicago - Booth School of Business; National Bureau of Economic Research (NBER), Frederic A. Flyer, Compass Lexecon, and Yoad Shefi, University of Chicago - Booth School of Business; Compass Lexecon offer A Critical Evaluation of the FTC's Theory of Product Hopping as a Way to Promote Competition.

ABSTRACT: This paper evaluates the effect on competition of adopting the FTC’s product hopping theory as an antitrust doctrine. The paper criticizes the theory and explains why it would be a mistake to adopt it as a guide to antitrust liability.