Document Type
Article
Publication Date
8-30-2012
Abstract
Cartels are illegal in India, as they are almost everywhere. They are subject to heavy fines. Why, then, do businesses frequently try to fix prices? Because doing so usually is profitable. On average cartels raise prices by more than 20%, and probably face less than a 25% chance of being caught and convicted. Based upon a sample of 75 international cartels, the authors calculate that the expected profits from price fixing almost always exceed the penalties. No wonder businesses often try to fix prices.
Recommended Citation
Price-Fixing: Hefty Penalties on Big-Biz Cartels Will Provide Level Playing Field to Small Businesses, The Economic Times, August 30, 2012
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Antitrust and Trade Regulation Commons, Comparative and Foreign Law Commons, International Law Commons, International Trade Law Commons
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