Market power is generally defined in terms of the ability to profitably sustain an increase in prices above the competitive level. Explain why this may not be a useful approach when assessing the conduct of platform operators.
‘Market power’ is generally defined in terms of the ability to profitably sustain an increase in prices above the competitive level. Explain why this may not be a useful approach when assessing the conduct of platform operators. Use one or more examples to illustrate your answer. What is the role of a counterfactual when […]