Innovation and Limits of Antitrust

By Geoffrey Manne on March 17, 2011

In Innovation and the Limits of Antitrust (Journal of Competition Law & Economics, Vol. 6, No. 1, 2010), Dr. Geoffrey Manne, Director at Global Economics Group, and Dr. Joshua D. Wright apply the analysis of error-cost minimization within the framework of innovation. They challenge the conventional wisdom that the error-cost approach implies that the rule of reason, rather than per se rules, should apply to most forms of business conduct. They identify five ways in which existing economic knowledge can be used to design simple rules that minimize error costs. Innovation and Limits of Antitrust