Economic Analysis and Evaluation of 'Fair Prices' - Can Antitrust and International Taxation Learn from Each Other?

43 Pages Posted: 9 Dec 2009  

Alessandro Turina

Bocconi University

Nicolo Zingales

University of Sussex Law School; Tilburg Law and Economics Center (TILEC); Tilburg University - Tilburg Institute for Law, Technology, and Society (TILT); Stanford University - Stanford Law School Center for Internet and Society

Date Written: December 1, 2009

Abstract

The purpose of this paper is to illustrate the different kinds of concerns related to the notion of “unfair prices” in tax and competition policy, respectively. The focus is on the rules governing transfer pricing within the setting of international tax policy, and on those governing the treatment of excessive as well as predatory pricing, according to competition policy.

After a brief methodological background, the paper introduces the various notions of transfer, excessive and predatory pricing stressing the differences and similarities in the respective regulations. It does so distinguishing the rules established by the United States and the OECD, in the area of transfer pricing, and the different approach taken by the US and the EU, with respect to competition policy.

Finally, the paper advances some tentative reflections on the possible scope for convergence between the three aforementioned areas of enquiry, elaborating some proposals from a policy making perspective.

Keywords: Transfer Pricing, Predatory Pricing, Excessive Pricing, Economic Analysis of Law, Interdisciplinary Approach, Legal Certainty

JEL Classification: K21, K34

Suggested Citation

Turina, Alessandro and Zingales, Nicolo, Economic Analysis and Evaluation of 'Fair Prices' - Can Antitrust and International Taxation Learn from Each Other? (December 1, 2009). CLPE Research Paper No. 51/2009. Available at SSRN: https://ssrn.com/abstract=1516486 or http://dx.doi.org/10.2139/ssrn.1516486

Alessandro Turina (Contact Author)

Bocconi University ( email )

Via Sarfatti, 25
Milan, MI 20136
Italy

Nicolo Zingales

University of Sussex Law School ( email )

Falmer
Brighton BN1 9QN
United Kingdom

Tilburg Law and Economics Center (TILEC) ( email )

Warandelaan 2
Tilburg, 5000 LE
Netherlands

Tilburg University - Tilburg Institute for Law, Technology, and Society (TILT) ( email )

P.O.Box 90153
Prof. Cobbenhagenlaan 221
Tilburg, 5037
Netherlands

Stanford University - Stanford Law School Center for Internet and Society ( email )

559 Nathan Abbott Way
Stanford, CA 94305-8610
United States

Paper statistics

Downloads
310
Rank
78,359
Abstract Views
1,459