The U.S. Department of Justice seal, The United States Department of Justice
Search Antitrust
 

Abstract

Analyzing Mergers Using Capacity Closures

Nicholas Hill, EAG 08-08, August 2008
PDF   Accessible Text

Abstract:
In this paper I describe a method for analyzing mergers in industries in which it is more cost effective to close capacity than to idle it. The method can be used to define markets, to assess the likelihood of competitive effects and to evaluate divestitures. I also discuss the method’s data requirements and how it can be modified to deal with the types of issues that often arise during an antitrust investigation.

Get Antitrust Division Updates

Sign up for E-Mail Updates

Subscribe to News Feeds

To view PDF files on this website you need the free Adobe Reader.