CRA consultants were retained in a matter involving damages claims from an alleged cartel in the market for hermetic compressors in Brazil. CRA’s expert report provided theoretical and econometric evidence that pricing in the period under investigation was at the competitive level and pointed out several issues invalidating the damages estimated by opposing party.
Assessing umbrella pricing incentives
When collusive agreements involve a subset of firms in an industry, they may create the incentive and ability for firms that are not participants in the cartel...