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Policy Paper No. 2

New Rules for Dominant Firms in Europe

Policy Paper
Reference
Ganslandt, Mattias (2006). “New Rules for Dominant Firms in Europe”. IFN Policy Paper No. 2. Stockholm: Research Institute of Industrial Economics (IFN).

Author
Mattias Ganslandt

The Commission has initiated a discussion about the application of the European competition rules for dominant firms. It recently published a Staff Discussion Paper which outlines some basic principles and raises a number of important questions, in particular related to the assessment of “exclusionary practices”.

This paper argues that the current application of Article 82 has several material problems. The current form-based approach to Article 82 may reduce the incentives to strive for dominance and could also hinder the process of rationalization.