Abstract

http://ssrn.com/abstract=1851309
 
 

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A Tip of the Iceberg? The Probability of Catching Cartels


Peter L. Ormosi


University of East Anglia (UEA) - Centre for Competition Policy; Norwich Business School

November 30, 2012


Abstract:     
Reliable estimates of crime detection probabilities could help design better sanctions and improve our understanding of the efficiency of law enforcement. For cartels, we only have limited knowledge on the rate at which these illegal practices are discovered. In comparison to previous works, this paper offers a more parsimonious and simple-to-use method to estimate time-dependent cartel discovery rates, whilst allowing for heterogeneity across …firms. It draws on capture-recapture methods that are frequently used in ecology to make inferences on various wildlife population characteristics. An application of this method provides evidence that less than a …fifth of cartelising firms are discovered.

Number of Pages in PDF File: 36

Keywords: crime detection rate, capture-recapture analysis, cartels, deterrence rate

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Date posted: May 27, 2011 ; Last revised: February 3, 2013

Suggested Citation

Ormosi, Peter L., A Tip of the Iceberg? The Probability of Catching Cartels (November 30, 2012). Available at SSRN: http://ssrn.com/abstract=1851309 or http://dx.doi.org/10.2139/ssrn.1851309

Contact Information

Peter L. Ormosi (Contact Author)
University of East Anglia (UEA) - Centre for Competition Policy ( email )
UEA
Norwich, Norfolk NR47TJ
United Kingdom
Norwich Business School ( email )
Norwich
NR4 7TJ
United Kingdom
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