Multimarket Power Estimation: The Australian Retail Meat Sector.

A new technique for estimating market power in several markets simultaneously is developed and applied to the Australian retail beef, lamb, and pork markets. Some support is found for the restriction that market power is the same for each meat. Given equal market power in all three meats, we reject the hypothesis of perfect competition. Market power increased slightly over the period of analysis. Spillover effects of shocks to one market on other markets are calculated.