6533b823fe1ef96bd127ec5b

RESEARCH PRODUCT

Merger policy in innovative industries

Miguel González-maestreLluís M. Granero

subject

Endogenous qualityEconomics and EconometricsProduct innovationmedia_common.quotation_subjectOligopoly05 social sciencesHigh techMicroeconomicsOligopolyMerger policy0502 economics and businessEconomicsQuality (business)050207 economicsHigh-tech industriesGeneral Economics Econometrics and FinanceWelfareIndustrial organization050205 econometrics media_common

description

We analyze optimal merger policy in R&D-intensive industries with product innovation aiming to improve the quality of products. Our results suggest that a permissive merger policy is rarely optimal in high-tech industries when the antitrust authority considers a welfare standard that balances the impact of mergers on con- sumers’ surplus and firms’ profits. In particular, relative to a benchmark where the effects from R&D are absent, we show that the optimal merger policy should not be substantially more permissive in the presence of those effects from R&D. info:eu-repo/semantics/publishedVersion

yearjournalcountryeditionlanguage
2016-12-01
10.1007/s10258-016-0122-9https://hdl.handle.net/10400.5/15753