Transcription of PREDATORY PRICING - OECD
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PREDATORY PRICING - OECD
PREDATORYPRICINGORGANISATION FOR ECONOMIC CO-OPERATION AND DEVELOPMENT2 This report covers PREDATORY PRICING , PRICING so low that competitors quit rather than compete,permitting the predator to raise prices in the long run. PREDATORY PRICING is subject to the competition lawsand policies of most OECD countries, but there has been a lively controversy over what standards shouldbe applied. Some officials go so far as to urge that any rule against predation will do more harm thangood by depriving consumers of the benefits of vigorous price report examines the conflicting proposals for a standard to control PREDATORY PRICING andrecommends a method of analysis which competition officials should follow. Major emphasis is given toidentifying when low PRICING should not be of concern to competition authorities. OECD 19893 TABLE OF ECONOMICS OF 7A.
2 This report covers predatory pricing, pricing so low that competitors quit rather than compete, permitting the predator to raise prices in the long run.
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