The Welfare Implications of the European Trucks Cartel
Abstract This paper presents a pragmatic approach to calculating the total economic loss induced by a cartel, focusing on the European trucks cartel (1997–2011). This comprehensible and transparent approach builds on the theory of monopoly pricing and uses the publicly available data of the infringi...
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| Main Authors: | , , |
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| Format: | Article |
| Language: | English |
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Springer
2020-04-01
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| Series: | Intereconomics |
| Online Access: | https://doi.org/10.1007/s10272-020-0881-5 |
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| _version_ | 1841525594804715520 |
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| author | Christian Beyer Elke Kottmann Korbinian von Blanckenburg |
| author_facet | Christian Beyer Elke Kottmann Korbinian von Blanckenburg |
| author_sort | Christian Beyer |
| collection | DOAJ |
| description | Abstract This paper presents a pragmatic approach to calculating the total economic loss induced by a cartel, focusing on the European trucks cartel (1997–2011). This comprehensible and transparent approach builds on the theory of monopoly pricing and uses the publicly available data of the infringing companies. Overall, a net welfare loss of up to 15.5 billion euro and an overcharge to the amount of up to 7.6% are estimated. This loss to society cannot be offset by fines or private damage claims and should raise awareness for antitrust policy. The findings presented are relevant for both practitioners and policymakers. |
| format | Article |
| id | doaj-art-0fe238da42b444d1b43e63b5ed3b92fa |
| institution | Kabale University |
| issn | 0020-5346 1613-964X |
| language | English |
| publishDate | 2020-04-01 |
| publisher | Springer |
| record_format | Article |
| series | Intereconomics |
| spelling | doaj-art-0fe238da42b444d1b43e63b5ed3b92fa2025-01-17T08:34:13ZengSpringerIntereconomics0020-53461613-964X2020-04-0155212012610.1007/s10272-020-0881-5The Welfare Implications of the European Trucks CartelChristian Beyer0Elke Kottmann1Korbinian von Blanckenburg2Fachbereich Wirtschaftswissenschaften, Technische Hochschule Ostwestfalen-LippeFachbereich Wirtschaftswissenschaften, Technische Hochschule Ostwestfalen-LippeFachbereich Wirtschaftswissenschaften, Technische Hochschule Ostwestfalen-LippeAbstract This paper presents a pragmatic approach to calculating the total economic loss induced by a cartel, focusing on the European trucks cartel (1997–2011). This comprehensible and transparent approach builds on the theory of monopoly pricing and uses the publicly available data of the infringing companies. Overall, a net welfare loss of up to 15.5 billion euro and an overcharge to the amount of up to 7.6% are estimated. This loss to society cannot be offset by fines or private damage claims and should raise awareness for antitrust policy. The findings presented are relevant for both practitioners and policymakers.https://doi.org/10.1007/s10272-020-0881-5 |
| spellingShingle | Christian Beyer Elke Kottmann Korbinian von Blanckenburg The Welfare Implications of the European Trucks Cartel Intereconomics |
| title | The Welfare Implications of the European Trucks Cartel |
| title_full | The Welfare Implications of the European Trucks Cartel |
| title_fullStr | The Welfare Implications of the European Trucks Cartel |
| title_full_unstemmed | The Welfare Implications of the European Trucks Cartel |
| title_short | The Welfare Implications of the European Trucks Cartel |
| title_sort | welfare implications of the european trucks cartel |
| url | https://doi.org/10.1007/s10272-020-0881-5 |
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