Private Law Theory

ABSTRACT
A large volume of recent antitrust scholarship claims that common ownership leads to anticompetitive effects and ought to be prohibited or severely restricted. However, according to corporate governance and financial regulation experts, common ownership is desirable as it reduces the costs involved in corporate governance and leads to efficient markets. Most of the regulatory measures proposed by antitrust scholars involve ex ante regulation of common ownership based on its expected anticompetitive effects and may be overbroad. Ex post regulation of common ownership under the prohibition of horizontal agreements can effectively regulate common ownership only when there is evidence of a rise of prices.

Bhaduri, Anik, Common Ownership as a Plus Factor (January 17, 2021). International Company and Commercial Law Review, volume 32, no 3 (2021).

First posted 2021-01-29 05:55:14