A team of CRA economists assisted counsel for Watson Wyatt Worldwide and Towers, Perrin, Forster & Crosby in securing US antitrust clearance for their proposed merger. Both firms operate globally, offering a wide range of services including actuarial consulting, investment management advice, benefits administration, and executive compensation consulting. CRA economists prepared and presented economic analyses to the Department of Justice demonstrating the robust competition and insubstantial barriers to entry, expansion, and repositioning that characterize these business segments. The DOJ cleared the proposed merger without modification and without issuance of a Second Request.
How capacity constraints shape unilateral price effects in horizontal mergers
Examples include hospitals with a fixed number of beds, and hotels with a fixed number of rooms. In the article “Unilateral Price Effects in Horizontal...