We study the impact of electricity divestments in a stylised model where a dominant producer faces a competitive fringe with the same cost structure and is forced to sell some of its capacity. For a given demand level, the divestment which achieves the greatest reduction in prices can be several...

Recent merger decisions by competition authorities have revived the debate on the relationship between competition and innovation. This article reviews this issue by drawing on the relevant economic literature, and by placing it in the broader policy debate on the benefits of competitive...

The antitrust treatment of loyalty discounts remains a highly topical debate in European competition policy. The European Commission has started to move towards a more economic approach to the evaluation of loyalty discounts (or rebates) with the publication of its Guidance Paper on exclusionary...