In this article, Steven Tenn describes the FTC’s approach in a recent litigation, FTC v. Advocate Health Care Network, where the FTC successfully challenged a proposed merger of two healthcare systems with hospitals in the northern suburbs of Chicago. He discusses the case from his perspective as the FTC’s economic expert in that matter.
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...