In this paper, the authors propose an index for scoring coordination incentives, which they call the “coordination GUPPI” or cGUPPI. This paper describes the cGUPPI methodology and its properties, including its relationship to the GUPPI used to score unilateral effects. It also illustrates the mechanics of the cGUPPI methodology with several examples of hypothetical mergers. To read more, click the link below.
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...