Cartels Uncovered

• 成果类型: Article
• 署名作者: Hyytinen, Ari; Steen, Frode; Toivanen, Otto
• 署名单位: Hanken School of Economics; University of Jyvaskyla; Norwegian School of Economics (NHH); Centre for Economic Policy Research - UK; Aalto University; KU Leuven
• 刊物名称: AMERICAN ECONOMIC JOURNAL-MICROECONOMICS
• ISSN/ISSBN: 1945-7669
• DOI: 10.1257/mic.20160326
• 发表日期: 2018
• 页码: 190-222
• 关键词: hidden markov-models; longitudinal data; collusion; STABILITY; MARKETS; selection; duration; leniency; industry; cost

摘要

How many cartels are there, and how long do they live? The answers to these questions are important in assessing the need for competition policy. We present a Hidden Markov Model that takes into account that often it is not known whether a cartel exists or not. We take the model to data from a period of legal cartels-Finnish manufacturing industries 1951-1990. Our estimates suggest that once born, cartels are persistent; by the end of the period, almost all industries were cartelized.