Our issue this month, organized by Rosa Abrantes-Metz, brings together antitrust theory and practice. We look at the econometric approach of screening as a way to identify possible cartels and other collusive activities, analyzing how to apply screens both from the regulators’ and the potential defendants’ perspectives. The analysis is illustrated with real-life applications to […]

Rosa Abrantes-Metz, Albert Metz, Mar 13, 2012 A class of empirical analysis known as “screening” uses commonly available data such as prices, costs, market shares, bids, transaction quotes, spreads, and volumes to identify patterns that are anomalous or highly improbable under ordinary competitive conditions. Screens can signal the possibility of cheating in a market or […]

Donald Klawiter, Mar 13, 2012 Despite the enormous increase in cartel detection and the internationalization of both detection and enforcement since 1995, many believe that the enforcement agencies have just scratched the surface. How do the enforcers-and compliance counsel-detect more cartel activity? Simply put, aggressive compliance, due diligence, econometric analysis, leniency programs, and careful observation […]

Carlos Mena-Labarthe, Mar 13, 2012 It is a common place nowadays to say that antitrust authorities have relied significantly (or over relied) on leniency applications to detect cartels. Some intend this as a criticism; others intend this as recognition of the strategy. Indeed, evidence shows leniency has been the most useful tool for cartel detection […]

Carlos Ragazzo, Mar 13, 2012 Prices in the gas retail market were heavily regulated by the Brazilian government until the late 1990s. At the beginning of the last decade, prices were finally deregulated and, as an ensuing consequence, cartel complaints started. Although such behavior was to a certain extent expected due to the lack of […]

Claire Korenblit, Mar 13, 2012 The degree to which plaintiffs pursue antitrust damages actions in the United States and the European Union varies considerably. For almost 100 years, private enforcement of the antitrust laws through damages actions has played a major role in the development of U.S. antitrust jurisprudence. In the European Union, although private […]