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I don't care about the specifics here, but can someone school me: What possible mechanisms are there to prevent cartels? I hear a lot about how to deal with mon
by guerrilla 5y ago
I don't care about the specifics here, but can someone school me: What possible mechanisms are there to prevent cartels? I hear a lot about how to deal with monopolies (which are trivial to identify) but very little about colluding oligopolies.
- beberlei 5y agoThe strategy the European Union is going is to guarantee the first party that sings about a cartel immunity/impunity and all others can be fined up to 10% of global turnover.
- guerrilla 5y agoOkay, that makes sense. Hopefully we have whistleblower protections and reward for individuals too, like a bug bounty program for the economy :)
- gen220 5y agoThe first sentence of the Sherman Antitrust act (same one that grants the DoJ authority to break up monopolies) declares "every contract... or conspiracy, in restraint of trade or commerce" illegal, which would generally include cartels. 12 years ago [1] this law was invoked against big tech companies, who entered no-poach agreements to reduce inter-big-tech-co hiring competition, with the side effect of wage suppression. Anti-competitive collusion is illegal, full-stop. Proving anti-competitive conspiracy without an explicit paper trail is hard. The emails in the article are pretty explicit. Should be interesting! [1]: https://en.wikipedia.org/wiki/High-Tech_Employee_Antitrust_Litigation#Department_of_Justice_antitrust_action https://en.wikipedia.org/wiki/High-Tech_Employee_Antitrust_L...