Private Antitrust Litigation: Procompetitive or Anticompetitive?

14 Pages Posted: 19 Aug 2005

See all articles by R. Preston McAfee

R. Preston McAfee

California Institute of Technology - Division of the Humanities and Social Sciences; Yahoo! - Yahoo! Research Labs

Hugo M. Mialon

Emory University - Department of Economics

Sue H. Mialon

Emory University

Date Written: August 16, 2005

Abstract

The antitrust laws are intended to permit procompetitive actions by firms and deter anticompetitive actions. We consider firms' incentives to use the antitrust lawsuits for strategic purposes, in particular to prevent procompetitive efficiency-improvement by rival firms. Our main result is that, ceteris paribus, smaller firms in more fragmented industries are more likely to use the antitrust laws strategically than larger firms in concentrated industries.

JEL Classification: L44, K21, H11

Suggested Citation

McAfee, Randolph Preston and McAfee, Randolph Preston and Mialon, Hugo M. and Mialon, Sue H., Private Antitrust Litigation: Procompetitive or Anticompetitive? (August 16, 2005). Emory Law and Economics Research Paper No. 05-18, Available at SSRN: https://ssrn.com/abstract=784805 or http://dx.doi.org/10.2139/ssrn.784805

Randolph Preston McAfee

California Institute of Technology - Division of the Humanities and Social Sciences ( email )

1200 East California Blvd.
Pasadena, CA 91125
United States

Yahoo! - Yahoo! Research Labs ( email )

Sunnyvale, CA 94089
United States

Hugo M. Mialon (Contact Author)

Emory University - Department of Economics ( email )

1602 Fishburne Drive
Atlanta, GA 30322
United States

Sue H. Mialon

Emory University ( email )

Department of Economics
1602 Fishburne Dr.
Atlanta, GA 30322
United States
404-712-8169 (Phone)

HOME PAGE: http://www.suemialon.net

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