An Instrumental Approach to Market Power and Antitrust Policy
36 Pages Posted: 20 Sep 2006
A market power analysis is a principal focus of most antitrust analyses. The current treatment of market power, however, is inconsistent with a view that market power is a marketable asset. In the absence of transaction costs, market power would only exist when there are off-setting consumer-benefitting effects. This Article discusses an approach to market power that is designed to allocate it efficiently.
Keywords: monopoly, antitrust, market power, Coase
JEL Classification: D23, D42, K21
Suggested Citation: Suggested Citation