February 5, 2016 Leave a comment
The CCP Seminar Series continues on Friday 5th February 2016, as another exciting new recruit, Lily Samkharadze (CCP & NBS), makes her CCP debut with her presentation, ‘Monopolization Conduct by Cartels‘ (joint work with Robert Marshall and Leslie Marx). Lily has recently started her new role as a Lecturer in Competition Economics at the Norwich Business School. She writes extensively in the field of competition policy and competition economics, and has also been nominated for a 2016 Antitrust Writing Award for an article in the International Journal of Industrial Organization. An abstract for Lily’s paper can be found below.
Collusion enhances profits of cartel firms, but collusive profits are reduced by the presence of rival firms outside the cartel. We construct a model in which a firm that was not invited to join, or that chose to remain outside the cartel, can potentially be eliminated through monopolization conduct by the cartel. This conduct increases profits for cartel members due to both the diminished competition and the decreased potential for secret deviations by cartel firms. Because of this latter effect, incentives for monopolization conduct are stronger for cartels that have not fully suppressed rivalry relative to those that have.
The seminar takes place from 13:00-14:00 in TPSC 2.03. Tea will be provided directly afterwards in the MBA Café (Floor 2, TPSC).