Antitrust & Competition Policy Blog

Editor: D. Daniel Sokol
University of Florida
Levin College of Law

Friday, August 14, 2020

Modeling the Effects of Mergers in Procurement: Comment

Modeling the Effects of Mergers in Procurement: Comment

Keith Waehrer

Bates White Economic Consulting

Abstract

Miller (2014, 2017) proposes an approach to the analysis of merger effects in markets involving procurement where one of the two product lines is discontinued. This note proves that, as presented in Miller (2014, 2017) and applied to a number of actual merger cases, eliminating one of the two product lines will not be more profitable than retaining both product lines from the merger, and therefore, applying this approach will likely overstate the anti-competitive effects of mergers.

https://lawprofessors.typepad.com/antitrustprof_blog/2020/08/modeling-the-effects-of-mergers-in-procurement-comment.html

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