Analysis and Limitations of Merger Retrospective Studies
Revue internationale de droit économique, Vol. 23, No. 2, pp. 159-173, 2009
Posted: 19 Dec 2010 Last revised: 4 Jan 2011
Date Written: January 1, 2009
Abstract
From a methodological perspective, this paper aims to review the various means to assess a competition agency’s merger decision. The upward trend to measure the efficiency of competition policy shows the utility of a survey about the main existing quantitative tools. To this end, four different approaches are exposed: simulation with structural models, event studies, the difference-in-difference technique, and lastly, surveys. One can ask if these tools often used during an investigation phase for a merger proposal can be transposed for a retrospective study. The pros and cons of such models are emphasized so that complementarities among them are possible.
Keywords: Competition policy, Mergers, Retrospective studies
JEL Classification: C40, K21, L40
Suggested Citation: Suggested Citation