IDEAS home Printed from https://ideas.repec.org/p/una/unccee/wp0110.html
   My bibliography  Save this paper

Framework for Valid Market Definition Tests in Merger Control

Author

Listed:
  • Javier Elizalde

    (Facultad de Ciencias Económicas y Empresariales, Universidad de Navarra)

Abstract

This work develops a formal framework for market definition. The conditions a test must satisfy are selected in order to define the relevant market according to the jurisdictions of the United States and the European Community. I use two models of horizontal product differentiation to illustrate the two approaches of the hypothetical monopolist test: the price-increase approach and the profit-maximisation approach. The nature of the tests that can be used under the two jurisdictions differ significantly as do the tests valid under the successive revisions of the 1982 Horizontal Merger Guidelines in the United States. When supply-side substitution is feasible, markets defined under the European Community approach are wider than those defined under the United States approach.

Suggested Citation

  • Javier Elizalde, 2010. "Framework for Valid Market Definition Tests in Merger Control," Faculty Working Papers 01/10, School of Economics and Business Administration, University of Navarra.
    • Handle: RePEc:una:unccee:wp0110
    as

    Download full text from publisher

    File URL: http://www.unav.edu/documents/10174/6546776/1265712307_WP_UNAV_01_10.pdf
    Download Restriction: no
    ---><---

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Javier Elizalde, 2013. "Market definition with differentiated products: a spatial competition application," European Journal of Law and Economics, Springer, vol. 36(3), pages 471-521, December.
    2. Filistrucchi, L. & Gerardin, D. & van Damme, E.E.C. & Keunen, S. & Klein, T.J. & Michielsen, T.O. & Wileur, J., 2010. "Mergers in Two-Sided Markets - A Report to the NMa," Other publications TiSEM f901d1fe-8878-444e-a685-8, Tilburg University, School of Economics and Management.

    More about this item

    Keywords

    Antitrust Analysis; Horizontal Product Differentiation; Market definition; Oligopolistic Competition;
    All these keywords.

    JEL classification:

    • D43 - Microeconomics - - Market Structure, Pricing, and Design - - - Oligopoly and Other Forms of Market Imperfection
    • K21 - Law and Economics - - Regulation and Business Law - - - Antitrust Law
    • L11 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Production, Pricing, and Market Structure; Size Distribution of Firms
    • L13 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Oligopoly and Other Imperfect Markets
    • L41 - Industrial Organization - - Antitrust Issues and Policies - - - Monopolization; Horizontal Anticompetitive Practices

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:una:unccee:wp0110. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: the person in charge (email available below). General contact details of provider: http://www.unav.edu/web/facultad-de-ciencias-economicas-y-empresariales .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.