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It is often “assumed,” even among well-informed lawyers and economists, that European competition law is an emulation of the US antitrust law because of American influence on European political and economic debates after the Second World War. However, such an assumption is disputable: in accordance with Professor Gerber, the competition law in Europe is an indigenous product based primarily on ideas developed in Germany by the so-called ordoliberal thought. In this respect, the article 102 TFEU may be considered a proof. The aims of this article are to furnish a critical examination of ordoliberal ideas of anticompetitive conducts and underline the relevance of ordoliberal thought for the development of the modern European competition law.

The goal of this chapter is to analyse the decisions of the Croatian Competition Agency in the field of grocery retail mergers in the 2004–2009 period. In particular, various criteria used by the Competition Agency to evaluate grocery retail mergers are identified and discussed.

Using the comparative approach the author attempts to detect the relevant sources for certain solutions embraced by the Competition Agency by examining especially the relevant practice of the European Commission as well as relevant decisions adopted by some competition authorities in EU member states.

The grocery retail market in Croatia has seen a flurry of mergers since 2004 with the largest competitor spreading to various local markets. For the Croatian competition authority this merger wave has perhaps been the biggest challenge since its inception. In the face of growing market concentration, the authority saw fit to shift from initially providing green light to duly notified transactions to subsequently addressing serious competition concerns by ordering a number of remedies. The Croatian competition authority relied extensively on EU acquis when deciding on specific merger cases, especially as regards the relevant market definition.

The value of the chapter is reflected in the fact that this kind of comparative analysis of Croatian merger cases in the field of grocery retail mergers was not available before. It is especially in the light of the accession of Croatia to the EU, as foreseen on 1 July 2013, that this kind of study becomes useful both for domestic but also EU audience.

Hospitals are complex organisations accounting for most of total health expenditure. They play a critical role in providing care to patients with high levels of need. A key policy concern is that patients receive high quality care. Policymakers have attempted to influence hospital quality in different ways. This chapter focuses on three key policy levers: the extent to which hospital competition and higher hospital tariffs (of the DRG type) can stimulate quality, and whether non-profit hospitals provide higher or lower quality than for-profit ones. The chapter outlines key methodological challenges and selectively reviews the main findings from the literature. While several studies suggest that hospital competition reduces mortality rates for heart attack cases when hospital tariffs are fixed (under a DRG system), at this stage is unclear whether the effect holds across a range of quality indicators. Moreover, the limited literature on hospital mergers tends to suggest that hospital quality does not change following a merger. Finally, whether non-profit hospitals provide higher or lower quality varies across regions and institutional arrangements. The economic theory suggests several mechanisms with opposite effects on quality. To guide policy, future work needs to further unpack the various mechanisms through which these three key policy issues affect hospitals incentives.

Charter schools have the potential to enhance competition in the public education sector. As such, they could have a particularly significant impact in the labor market for teachers. This study uses data on more than 312,000 teachers from 483 urban Texas school districts to explore the impact of charter school competition on the compensation of teachers at traditional public schools. The analysis suggests that once charter enrollments reach critical mass, increasing competition from charter schools increases salaries for all but the most experienced teachers.

Advocates of market-based reforms in the public sector argue that competition between providers drives up performance. But in the context of schooling, the concern is that any improvements in efficiency may come at the cost of increased stratification of schools along lines of pupil ability and attainments. In this chapter, we discuss our empirical work on competition and parental choice in English primary schools and present a methodology for identifying competition effects that exploits discontinuities in market access close to education district boundaries.

Competitions celebrate meritocratic values. Letting the best man or woman win leaves little room for human choice, since presumably the result follows from ascertaining the fact that someone did better than the rest. But in architectural competitions, appointing a winner involves human choice. An in-depth empirical investigation demonstrates that such human choice has the character of intuition and judgment. The choice of the winner preceded the process by which the winning design proposal was established as being better than the other proposals. We discuss the role of intuitive choices in architectural competitions and claim that they reflect necessity more than vice. They are ways around the fundamental incommensurability of the alternative design proposals. The garbage can model is used as a framework for making sense of the observed counterintuitive ways of decision making. Its attempt to theorize alternative forms of orderliness proves helpful, but on certain points our observations also suggest modifications to the model.

This study uses county-level property tax data to assess alternative theories for government interaction in setting tax rates. Tests of the two theories, tax competition and yardstick competition, incorporate data for both mobile and immobile property. Using spatial econometrics, results show a statistically significant, positive effect of neighbor rates on local rates for mobile property, consistent with both forms of competition. However, similar statistically significant positive effects for immobile property are consistent only with yardstick competition. The results have implications for decision making in the competitive environment government authorities face.

Purpose: Like other Southeast European countries, Kosova applies the principles of a market economy. Despite the difficulties, in the efforts to create a free and competitive market economy, Kosovo must undertake reforms to face the reality of economic integration and global markets in general. In this regard, an important aspect is the implementation of economic reforms, the justice system, and the effective implementation of competition law under the ‘Acquis communautaire’. Therefore, the purpose of the research is to analyse the issues related to the regulation and protection of competition in Kosovo, with particular attention to controlling the concentration of enterprises based on EU practices.

Methodology: In answering the above questions, we carried out a desk review of comprehensive professional literature, EU treaties and directives, international competition institutions standards and requirements as well as other national laws and legal acts.

Findings: Moderate progress has been made, but the necessary steps are still taken to have a competitive economy and to be in the right position for EU integration. Concentrations are one of the important parts of competition law where through this practice it is possible to merge and acquire enterprises. Many cases of abuse can be encountered in this type of practice, so the role of competent supervisory authorities is necessary to regulate them. Concentration problems have been addressed since the establishment of joint ventures and their operation within the market modernisation becomes more complex both in the application and in the investigation by the competent controlling authorities. The analysis and functioning of the internal market, as well as the lack of practices in the field of concentration within an effective competition, is the focus of this chapter.

Significance: This chapter addresses issues raised in terms of competition law and possible improvements that can be made through the implementation of European regulations, creating market stability and sustainable economies in the long-run.

The Supreme Court’s decision in Federal Trade Commission v. Actavis, Inc. is a challenge to conventional antitrust analysis. Conventional civil antitrust cases are decided by a preponderance of the evidence. This means that conduct challenged under the rule of reason is only condemned if the conduct resulted in more competitive harm in the actual world than a world without the alleged violation. Under conventional analysis, the intent of the parties also plays only a supporting role in determining whether the conduct was anticompetitive. A holder of a valid patent has a right to exclude others practicing the patented technology. And, the patent holder is not assumed to have market power because it expended resources in maintaining exclusionary rights. Actavis creates doubts about these propositions in circumstances beyond the “reverse” payment settlement of a patent suit that may have delayed an alleged infringer market entry. This chapter explores whether applying Actavis logic to antitrust litigation can result in condemnation of practices where there is little chance of an anticompetitive effect, where the patent holder likely has a valid and infringed patent, where there is little reason to believe that the patent holder has market power, and where only one party, or no parties, to an agreement have an anticompetitive intent. This chapter also investigates whether Actavis creates new problems with standing analysis, damages calculations, and the balancing of efficiencies against anticompetitive effects. Nevertheless, the lower courts have begun to extend the logic of Actavis. This is apparent in the condemnation of no-Authorized-generic settlements.

We contribute to the emerging literature on strategic corporate social responsibility (CSR) and its antecedents by undertaking a systematic analysis of the effect of rivalry on firm and industry CSR. We deal with the codetermination of competition and CSR by using instrumental variables in the firm-level analysis and by modeling it directly in the industry-level analysis. We find that higher intensity of rivalry and CSR of competitors increase firm CSR, ceteris paribus; however, in a more dynamic setting when firms can change their production output, more competition in fact decreases aggregate industry CSR. While seemingly contradictory, these findings suggest interesting implications for both managers and public policy makers.