Merger Policy in a Quantitative Model of International Trade
Bibliographic Data
| ID | 9702972 |
|---|---|
| Authors | Holger Breinlich (0000-0002-1205-1863, University of Surrey, corresponding author), Volker Nocke (0000-0002-5000-6828, University of Surrey), Nicolas Schutz (0000-0002-0481-9350, University of Surrey) |
| Year | 2019 |
| Publication date | 2019-11-07 |
| Open Access | Yes |
| Type | ARTICLE |
| Venue | The Economic Journal (JOURNAL) |
| Journal identifiers | ISSN: 0013-0133 • E-ISSN: 1468-0297 |
| Publisher | Oxford University Press (PUBLISHER • GB) |
| DOI | 10.1093/ej/uez061 |
| OpenAlex | W2104931807 |
| Language | EN |
| References cited | 1 |
In a two-country international trade model with oligopolistic competition, we study the conditions on market structure and trade costs under which a merger policy designed to benefit domestic consumers is too tough or too lenient from the viewpoint of the foreign country. We calibrate the model to match industry-level data in the U.S. and Canada. Our results suggest that at present levels of trade costs, merger policy is too tough in the vast majority of sectors. We also quantify the resulting externalities and study the impact of different regimes of coordinating merger policies at varying levels of trade costs
Business · Economics · International economics · International trade · Global Trade and Competitiveness · Global trade and economics · Merger and Competition Analysis
| Highly cited | No |
|---|