Should competition authorities prohibit vertical mergers

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1. For which reasons can it be profitable for manufacturers to grant exclusive territories to their retailers?

2. Provide two reasons why the Chicago school argument on exclusive dealing (namely that, whenever exclusive dealing is observed, it must be welfare improving) is wrong.

3. Should competition authorities prohibit vertical mergers that lead to higher input prices?

4. What are possible coordinated effects of vertical mergers?

Reference no: EM131282379

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