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Predation as a Leveraging Abuse – Filling the Gap Between Economic Theory and Antitrust Enforcement?

BY | January 5, 2022

The conventional view of predation is that of a “one-market abuse,” where profit sacrifice and recoupment necessarily take place on the same market. We argue that economic theory allows for…

The conventional view of predation is that of a “one-market abuse,” where profit sacrifice and recoupment necessarily take place on the same market. We argue that economic theory allows for a wider interpretation of predation as an exclusionary strategy, where the predatory attack may help a dominant undertaking to leverage its market power into other markets. Economic theory has long acknowledged this possibility, but case law on predation as a leveraging abuse is still scant, pointing to p

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