Posted by Social Science Research Network
Price Discrimination as a Violation of the Sherman Act
By Ramsi Woodcock (Georgia State University)
Abstract: The advance of the information age promises to make it possible for producers to charge consumers tailored prices that extract maximum value from them, a practice known as perfect price discrimination. I show that price discrimination violates antitrust law when it is supported by conduct designed to prevent those to which a price discriminator charges low prices from undermining the scheme by reselling the product to those to whom the discriminator wishes to charge high prices. I show that such conduct is not protected by the right, recognized by antitrust, of a seller to refuse to deal with competitors, such as resellers, particularly when the remedy antitrust would impose is an order requiring nondiscrimination, instead of cessation of the exclusionary conduct.
Featured News
Judge Mehta Questions Both Sides in Landmark Google Antitrust Case
May 2, 2024 by
CPI
FCC Urges Urgent Funding for Removal of Chinese Telecom Equipment from U.S. Networks
May 2, 2024 by
CPI
Former Pioneer CEO Facing Potential Criminal Charges For Colluding With OPEC
May 2, 2024 by
CPI
South Korea’s Antitrust Regulator Greenlights K-Pop Powerhouse Deal
May 2, 2024 by
CPI
Exxon’s Pioneer Purchase Approved, Former CEO Barred from Board
May 2, 2024 by
CPI
Antitrust Mix by CPI
Antitrust Chronicle® – Economics of Criminal Antitrust
Apr 19, 2024 by
CPI
Navigating Economic Expert Work in Criminal Antitrust Litigation
Apr 19, 2024 by
CPI
The Increased Importance of Economics in Cartel Cases
Apr 19, 2024 by
CPI
A Law and Economics Analysis of the Antitrust Treatment of Physician Collective Price Agreements
Apr 19, 2024 by
CPI
Information Exchange In Criminal Antitrust Cases: How Economic Testimony Can Tip The Scales
Apr 19, 2024 by
CPI