The Anticompetitiveness of Sharing Prices
32 Pages Posted: 30 Jun 2020 Last revised: 10 Mar 2021
Date Written: September 20, 2020
Competitors privately sharing price intentions is universally prohibited under antitrust/competition law. In contrast, there is no common well-accepted treatment of competitors privately sharing prices. This paper shows that firms sharing prices leads to higher prices. Based on this theory of harm, it is argued that there should be a per se prohibition on sharing prices.
Keywords: Information exchange, prices, antitrust
JEL Classification: L13, L41
Suggested Citation: Suggested Citation