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An Econometric Analysis of the European Commission's Merger Decisions

Author

Listed:
  • Bergman, Mats A.

    (Department of Economics)

  • Jakobsson, Maria

    (Stockholm University)

  • Razo, Carlos

    (Stockholm University)

Abstract

Using a sample of 96 mergers notified to the EU Commission and logit regression techniques, we analyse the Commission's decision process. We find that the probability of a phase 2 investigation and of a prohibition of the merger increases with the parties' market shares. The probability increases also when the Commission finds high entry barriers or that post-merger collusion is easy. We do not find significant effects of political variables, such as the nationality of the merging firms or the identity of the commissioner.

Suggested Citation

  • Bergman, Mats A. & Jakobsson, Maria & Razo, Carlos, 2003. "An Econometric Analysis of the European Commission's Merger Decisions," Working Paper Series 2003:6, Uppsala University, Department of Economics.
    • Handle: RePEc:hhs:uunewp:2003_006
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    References listed on IDEAS

    as
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    More about this item

    Keywords

    competition law; antitrust; merger; merger reulation;
    All these keywords.

    JEL classification:

    • D78 - Microeconomics - - Analysis of Collective Decision-Making - - - Positive Analysis of Policy Formulation and Implementation
    • K31 - Law and Economics - - Other Substantive Areas of Law - - - Labor Law
    • L40 - Industrial Organization - - Antitrust Issues and Policies - - - General

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