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Estimating Pass-On

BY | May 28, 2010

Andrea Lofaro, Jan Peter van der Veer, May 28, 2010 When assessing the damage incurred by customers of a cartel, it may (depending on the applicable legal framework) be relevant…

Andrea Lofaro, Jan Peter van der Veer, May 28, 2010

When assessing the damage incurred by customers of a cartel, it may (depending on the applicable legal framework) be relevant to consider the extent to which these downstream firms have passed on some or all of any price increase caused by the cartel to their own customers. Since passing on a price increase will always reduce the overall damage, reference is often made to the “passing-on defense.” However, it is important to note t

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