Abstract and Keywords
Coordinated effects analysis focuses on the impact of mergers on the potential for tacit collusion, which is not necessarily deterred through antitrust enforcement by the application of laws against explicit collusion. This chapter briefly reviews the pertinent portions of the literature on tacit collusion and shows how its learning is applied or can be applied in the assessment of horizontal mergers. It then quickly reviews several merger cases that were scrutinized through the lens of coordinated interactions and comments on the types of evidence that may be probative to the outcome of the review process. Some progress towards the quantification of the risk of coordinated effects is being made linking the increase in incentives for coordination to the potential changes in the benefits from coordination resulting from a merger.
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