HORIZONTAL MERGERS AND INNOVATION‡. (20th September 2018)

• Record Type: Journal Article
• Authors: Jullien, Bruno; Lefouili, Yassine
• Is Part Of: Journal of competition law & economics. Volume 14:Number 3(2018)
• Page Start: 364
• Page End: 392
• Publication Date: 2018-09-20
• Subjects: Merger Policy -- Innovation -- R&D Investments; Antitrust law -- Periodicals; Competition, Unfair -- Periodicals; Foreign trade regulation -- Periodicals; International economic relations -- Periodicals; Competition, International -- Periodicals; 343.072
• DOI: 10.1093/joclec/nhy010
• Languages: English
• ISSNs: 1744-6414

Abstract

Abstract: This paper discusses the effects of horizontal mergers on innovation. We rely on the existing academic literature and our own research to present the various positive and negative effects of mergers on innovation. Our analysis shows that the overall impact of a merger on innovation may be either positive or negative and sheds light on the circumstances under which each of these scenarios is likely to arise. We derive a number of policy implications regarding the way innovation effects should be handled by competition authorities in merger control and highlight the differences with the analysis of price effects.