Showing 9 of 472 Publications in Economics

Bundled Discounts, Exclusive Dealing, and Liability Rules: Thoughts on Crane and Lambert on Bundled Discounts

TOTM Dan Crane and Thom (who has promised more remarks!) have now both posted their prepared remarks for the Section 2 hearings panel on bundled discounts. . . .

Dan Crane and Thom (who has promised more remarks!) have now both posted their prepared remarks for the Section 2 hearings panel on bundled discounts. Both call for bright-line, administrable liability rules for all forms of unilateral exclusionary conduct, and have important things to say about designing antitrust rules for bundled discounts. Both are worth reading in their entirety. Administrable rules that sensibly balance Type I and II errors are certainly an indisputably admirable goal for antitrust analysis and bundled discounts have proven to be a particularly tricky form of conduct for Section 2 analysis. Despite all of the agreement around here between Thom, Dan and I on the design of antitrust rules in a world of costly Type I errors, I think I have found a topic upon which I can at least offer a mild dissent (or at least a different perspective) regarding the usefulness of the analogy of various anticompetitive theories of bundled discounting practices to exclusive dealing.

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Antitrust & Consumer Protection

Crane and Lambert on Hovenkamp — the Closet Chicagoan

TOTM Cardozo professor Dan Crane and I are living parallel lives. We both attended Wheaton College and the University of Chicago Law School (Dan was two . . .

Cardozo professor Dan Crane and I are living parallel lives. We both attended Wheaton College and the University of Chicago Law School (Dan was two years ahead of me). We began teaching at the same time. We both teach antitrust law and have written on bundled discounts. Like Josh, we’re both presenting at the DOJ/FTC hearings on single-firm conduct. And we’ve both recently written reviews of Herbert Hovenkamp’s terrific new book,

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Antitrust & Consumer Protection

Nobel Speculation and Some Very Casual Empiricism

TOTM With the Econ Nobel (or for those who feel better using the official label, the “Sveriges Riksbank Prize in Economic Sciences in Memory of Alfred . . .

With the Econ Nobel (or for those who feel better using the official label, the “Sveriges Riksbank Prize in Economic Sciences in Memory of Alfred Nobel” … ) to be announced on Monday, the time is ripe for speculation. Greg Mankiw, Don Boudreaux, the WSJ, and Tyler Cowen have chimed in on the frontrunners. Cowen predicts Eugene Fama and Richard Thaler for empirical finance while registering his own vote in favor of GMU’s Gordon Tullock (seconded by Boudreaux).

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Who Has the Moral High Ground Here?

TOTM Life in the inner city can be hard. Jobs are scarce, prices are high, and transportation is difficult, making it hard to travel significant distances . . .

Life in the inner city can be hard. Jobs are scarce, prices are high, and transportation is difficult, making it hard to travel significant distances to work or shop. So when major retailers announce plans to enter the inner city, hire lots of employees, turn their neighborhoods into shopping destinations (thereby encouraging the creation of more jobs and conveniences), and offer signficantly lower prices than are currently available, you’d think “moral” folks would be pretty happy.

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Defending (Positive) Law & Economics

TOTM Securities Mosaic is a fantastic resource for anyone working in the securities field. It provides comprehensive information in six key areas: disclosure, laws, rules, guidance, . . .

Securities Mosaic is a fantastic resource for anyone working in the securities field. It provides comprehensive information in six key areas: disclosure, laws, rules, guidance, news, and compliance centers. In addition, the site features SM Blogwatch, which republishes posts from various securities-related blogs, including this one.

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The Law and Economics of Contracts

TOTM This new chapter in the forthcoming Handbook of Law and Economics (Polinsky & Shavell, eds.) from Avery Katz, Benjamin Hermalin, and Richard Craswell looks like . . .

This new chapter in the forthcoming Handbook of Law and Economics (Polinsky & Shavell, eds.) from Avery Katz, Benjamin Hermalin, and Richard Craswell looks like essential reading for anyone interested in economic analysis of contracts and contract law.

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Hovenkamp on Slotting, Discounts, and Competition for Distribution

TOTM Like Thom, I also have spent the last few weeks reading Herbert Hovenkamp’s excellent new antitrust book, The Antitrust Enterprise: Principles and Execution. I am . . .

Like Thom, I also have spent the last few weeks reading Herbert Hovenkamp’s excellent new antitrust book, The Antitrust Enterprise: Principles and Execution. I am looking forward to Thom’s review in the Texas Law Review, and wholeheartedly agree with him that Hovenkamp’s book is an important and significant contribution to the antitrust literature (see also Randy Picker’s book review here describing “The Antitrust Enterprise as The Antitrust Paradox for a post-Chicago antitrust landscape”). I’m still digesting most of the book, and perhaps will share some more thoughts in this space later on, but thought I would chime in with some thoughts on two issues relevant to my own research on slotting contracts, discounts, and competition for product distribution.

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Antitrust & Consumer Protection

Update on the Costs of Regulating Inequality

TOTM Larry Solum was kind enough to link to my post on economics and arguments about social justice, and raises the following concerns about my argument :

Larry Solum was kind enough to link to my post on economics and arguments about social justice, and raises the following concerns about my argument…

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Intellectual Property & Licensing

Do Slotting Contracts Harm Consumers?

TOTM Warning: shameless plug of my own research to follow! Slotting allowances, or payments for shelf space, have been a central part of my research agenda . . .

Warning: shameless plug of my own research to follow!

Slotting allowances, or payments for shelf space, have been a central part of my research agenda for the last several years. My work with Ben Klein, The Economics of Slotting Contracts, presents a procompetitive theoretical explanation (and some aggregate data in support of our theory) for slotting contracts which I have blogged about from time to time. One of the reasons that I enjoy this topic is because payments for distribution are pervasive.

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Antitrust & Consumer Protection