Julie Cohen ‘The Regulatory State in the Information Age’

This paper, published in Theoretical Inquiries in Law, and available at eial.tau.ac.il/index.php/til/article/download/1425/1501, is only for the more academically minded and those who are interested in deep theory of regulation and competition law.  It focuses on the challenges that the information society poses to traditional modes of regulation, and provides food for thought and a potential starting point to try to think about challenges to competition law / economic regulation in a wider context. This is despite the repeated use of academic jargon and expressions such as “neoliberal” to mean “unfortunate ideas/developments”. Thus, mariner beware: here be dragons. The arguments made in this paper(which I do not necessarily share) include, among others: (i) that concepts used in classic regulatory schemes (such as market definition and market power for antitrust) were developed for different economic structures and are not very well suited to the information age, which is prone to oligopolistic/undefined markets and platforms markets/infrastructures that are interdependent, create strong path-dependencies and exert…

Steve Salop and Jonathan Baker ‘Antitrust, Competition Policy, and Inequality’

Originally circulated on 4 December 2016 This article, published in the Georgetown Law Review, is one of the first ones I am aware of on how public concerns about inequality may affect antitrust enforcement and competition policy. It argues that, among a number of other (arguably more important) factors, market power and increased concentration have led to increasing inequality. Technological change has created more markets with intellectual property protection or network effects, which allow firms to achieve market power. The adoption of more permissive antitrust rules during the past quarter-century has also likely increased the prevalence of market power. Since the returns of market power accrue to capital, which belongs to a minority of the population –usually the richest segment –, this increases the surplus of producers and, with it, inequality. The article provides a flavour of the times – and includes a useful review of the literature on competition and inequality, and of possible initiatives that agencies/legislators may adopt…