Most mergers in industries with solely a handful of opponents are anticompetitive, so why don’t we block them? The repair is to make use of a structural presumption to decrease the burden for regulators. Declining merger enforcement over the previous 25 years has harmed shoppers, staff, nondominant companies, and the U.S. financial system typically. In … [Read more…]
Why ban aggressive affords within the on-line world after they’re allowed offline? Massive tech needs plain vanilla broadband pricing as a result of it forecloses platform competitors. Within the Fifties, the European Financial Neighborhood determined that commerce of meals, medicines, books, and wheelchairs wouldn’t be taxed, as they had been “important” gadgets after World Warfare … [Read more…]
Does investing in info know-how (IT) allow companies to “scale with out mass” and enhance their market share? In a brand new paper, Erik Brynjolfsson, Wang Jin, and Xiupeng Wang study how IT impacts agency dimension, market focus, and the labor share of income. Over the previous few many years, we have now witnessed important … [Read more…]