The Effects of Mega-Mergers

2021 ◽  
pp. 43-54
Author(s):  
John N. Drobak
Keyword(s):  
Economic Theory ◽  
Price Increases ◽  
Merger Regulation ◽  
Financial Benefits ◽  
Significant Harm ◽  
New Firm ◽  
Plant Closures ◽  
The Government ◽  
Economic Considerations

Chapter 4 shows that a good part of the decrease in competition has resulted from the recent wave of large mergers. Merger regulation, which is based solely on economic considerations, is limited to assessing the potential anticompetitive effects among the competing firms, without any consideration of the size alone of the combined firm or the effects on noncompeting firms. In addition, many mergers are justified by a claim of increased efficiencies in the new firm, which is often the result of layoffs and plant closures. Not only does this cause significant job losses, it also hurts families and communities. Even though economic theory does not take these kinds of externalities into account, they are nonetheless harmful consequences of mergers. Numerous studies have shown that many mergers do not result in lower prices, while some mergers have even led to price increases. In these mergers, workers suffered not for the sake of consumers but for the financial benefits reaped by the shareholders and managers of the merging firms and by the professionals who put the deals together. It also appears that investment advisors encourage mergers just so that they can profit from the transactions, regardless of the degree of benefit provided to consumers (or even shareholders). With little or no benefit to consumers from some mergers and significant harm to labor, the chapter argues that we need to reassess how the government should review mergers.

Mexico's Pre-Revolutionary Reckoning with Railroads

1985 ◽  
Vol 42 (1) ◽  
pp. 1-28 ◽  
Author(s):  
Robert W. Randall
Keyword(s):  
Economic Growth ◽  
Economic Theory ◽  
Transportation Network ◽  
Underdeveloped Country ◽  
Role Of The State ◽  
Economic Interpretation ◽  
Short Run ◽  
Railway System ◽  
Economic Considerations

Economic considerations all but dominate recent historical writing in this country about the railroads of Mexico. Technical matters of construction and operation, as well as the role of the state in both, are touched upon, but economic interpretation, whether of the development of a railway system or of its impact on the nation, is the watchword if not catchword of most writing. Probably the leading example of the dominant approach is Growth against Development: The Economic Impact of Railroads in Porfirian Mexico (Northern Illinois University Press, 1981), by John H. Coatsworth, in which the author concludes that, while “the short run contribution of railroads to economic growth was large,” their longrun impact helped “to create the underdeveloped country Mexico has become.” Applying economic theory and measuring, Coatsworth in essence proves with numbers a case argued more elegantly in straight prose early in this century: that the application of a modern transportation network to a staple producing economy will do little more than extend and intensify the production system so as to increase the staple output.

scholarly journals Pengaruh Penyesuaian Harga Jual Bahan Bakar Minyak (BBM) Tehadap Konsumsi BBM dan Inflasi

2020 ◽  
Vol 4 (2) ◽  
pp. 165-182
Author(s):  
Aep soleh Soleh
Keyword(s):  
Inflation Rate ◽  
Secondary Data ◽  
Mineral Resources ◽  
Substitution Effect ◽  
Least Square ◽  
Fuel Price ◽  
Ordinary Least Square ◽  
Price Increases ◽  
The Government ◽  
The Impact

This study investigates the impact of fuel price adjusment on changes in fuel consumption and inflation in Indonesia. This study uses secondary data obtained from the Ministry of Energy and Mineral Resources, the Ministry of Finance, the Ministry of Trade, Bank Indonesia, the Central Bureau of Statistics (BPS), and PT Pertamina (Persero) from 2006 to 2016 and analyzed by using Ordinary Least Square (OLS) method. Research showed, if the government increases Premium Gasoline's price by 10%, in average its consumption would decrease around 2,99 %. However, if the Pertamax Gasoline's price increases, the consumption of Premium Gasoline would also increase due to substitution effect. Every 10% increase in Subsidized Diesel's price, in average its consumption would decrease around 4,80 % and vice versa. However, if the Pertamina dex's price increases, the consumption of Subsidized Diesel would also increase due to substitution effect. Moreover, IDR1.000/L increase in Premium Gasoline's Price would contribute 1,10 % to the inflation rate. On the other hand, increase in Subsidized Diesel's price does not contribute to the inflation rate.

scholarly journals THE DISCUSSION OF THE EDUCATIONAL PROGRAM «ECONOMIC THEORY» AND COMMENTS ON THE EDUCATIONAL PROJECT «ECONOMIC THEORY»

2021 ◽  
pp. 240-244
Author(s):  
Людмила Аршавировна Карасева
Keyword(s):  
Economic Theory ◽  
Russian Federation ◽  
Educational Program ◽  
Economic Base ◽  
Educational Project ◽  
The Russian Federation ◽  
The Government ◽  
Education Process

Представлен авторский отклик на проект рабочей программы учебного курса «Экономическая теория», разработанного преподавателями финансового университета при Правительстве Российской Федерации. Аргументирована своевременность и поддержано включение в Программу раздела «Политэкономические основы экономической теории». Рассмотрены позитивные и дискуссионные положения проекта программы, высказана целесообразность введения ее в учебный процесс. The author gives her own comments on the educational project program «economic theory» which was developed by the teachers of financial university under the government of the Russian federation. The author highlights the relevance of the introduction of «political and economic base in economic theory» rubric into the educational Program. The research investigates positive and debatable aspects of the program and supports its introduction in the education process.

scholarly journals A New Vision on the Prosumers Energy Surplus Trading Considering Smart Peer-to-Peer Contracts

2020 ◽  
Author(s):  
Bogdan-Constantin Neagu ◽  
Ovidiu Ivanov ◽  
Gheorghe Grigoras ◽  
Mihai Gavrilas
Keyword(s):  
Electricity Market ◽  
Energy Demand ◽  
Low Voltage ◽  
Peer To Peer ◽  
Local Network ◽  
Financial Benefits ◽  
Daily Energy ◽  
New Vision ◽  
The Government ◽  
Energy Surplus

A growing number of households benefit from the government subsidies to install renewable generation facilities such as PV panels, used to gain independence from the grid and provide cheap energy. In the Romanian electricity market, these prosumers can sell their generation surplus only at regulated prices, back to the grid. A way to increase the number of prosumers is to allow them to make higher profit by selling this surplus back into the local network. This would also be an advantage for the consumers, who could pay less for electricity exempt from network tariffs and benefitting from lower prices resulting from the competition between prosumers. One way of enabling this type of trade is to use peer-to-peer contracts traded in local markets, run at microgrid (μG) level. This paper presents a new trading platform based on smart peer-to-peer (P2P) contracts for prosumers energy surplus trading in a real local microgrid. Several trading scenarios are proposed, which give the possibility to perform trading based on participants’ locations, instantaneous active power demand, maximum daily energy demand and the principle of first come first served implemented in an anonymous blockchain trading ledger. The developed scheme is tested on a low-voltage (LV) microgrid model to check its feasibility of deployment in a real network. A comparative analysis between the proposed scenarios, regarding traded quatities and financial benefits is performed.

scholarly journals PEMIKIRAN EKONOMI IBNU TAIMIYAH

2017 ◽  
Vol 2 (2) ◽  
pp. 111-127
Author(s):  
Fasiha Fasiha
Keyword(s):  
Historical Development ◽  
Economic Thought ◽  
Market Mechanism ◽  
History Of Economic Thought ◽  
Demand And Supply ◽  
Price Increases ◽  
History Of ◽  
The Government ◽  
Islamic Civilization ◽  
Economic Thinking

The development of Islamic economics can not be separated from the historical development of Islamic civilization. The study of the history of economic thought by analyzing the description of economic thinking Ibn Taymiyyah and the history of life that affect the economic thinking of Ibn Taymiyyah. According to Ibn Taymiyyah pricing by the government is good, but not absolute, because the actual prices are set by the forces of demand and supply. Another case, if the price increases caused by injustice market mechanism, the government may intervene in pricing. To achieve this purpose, it is necessary formation hisbah institutions with the aim of protecting the interests of buyers and sellers

Moral Norms, Adaptive Preferences, and Hedonic Psychology

2021 ◽  
Vol 22 (2) ◽  
pp. 35-54
Author(s):  
Jonathan S. Masur
Keyword(s):  
Economic Theory ◽  
Human Behavior ◽  
Law And Economics ◽  
Moral Norm ◽  
Moral Norms ◽  
Adaptive Preferences ◽  
The Government ◽  
Behavioral Law And Economics ◽  
Hedonic Approach

Abstract In a series of important papers published roughly twenty years ago, Professor Robert Cooter developed a comprehensive economic theory of moral norms. He explained the value of those norms, described the process by which norms are adopted, and offered a set of predictions regarding the circumstances under which an individual will choose to adopt a particular moral norm. This brief Article applies behavioral law and economics and hedonic psychology to expand upon Professor Cooter’s path-breaking theory. In particular, understanding welfare in hedonic terms — rather than preference-satisfaction terms — suggests a multitude of further situations in which individuals will justifiably seek to internalize moral norms. The hedonic approach to welfare then further suggests an enhanced role for the government to play in encouraging the adoption of welfare-enhancing norms. Cooter’s theory, combined with modern understandings of welfare and human behavior, thus offers powerful predictive and prescriptive possibilities.

Big Collusion

2016 ◽  
pp. 127-144
Author(s):  
Garry Robson ◽  
C. M. Olavarria
Keyword(s):  
Consumer Behavior ◽  
Insufficient Attention ◽  
Individual Privacy ◽  
Digital Surveillance ◽  
Financial Benefits ◽  
The Social ◽  
The Government ◽  
Relationship Of ◽  
The U.S

In the post-Snowden digital surveillance era, insufficient attention has been paid to the role of corporations and consumers in the onslaught on digital privacy by the largest surveillance state – the U.S. The distinction between corporations and the government is increasingly difficult to pinpoint, and there exists an exclusive arrangement of data sharing and financial benefits that tends towards the annihilation of individual privacy. Here the role of consumers in facilitating this alliance is examined, with consideration given to the “social” performances treated as free and exploitable data-creating labor. While consumers of the digital economy often assume that everything should be free, the widespread tendency to gratify desires online inevitably leads to hidden costs and consequences. The permanent data extracted from consumer behavior helps agencies sort and profile individuals for their own agendas. This trilateral relationship of ‘Big Collusion' seems to have gained an irreversibly anti-democratic momentum, producing new transgressions of privacy without proper consent.

Vietnam: Marshalling State and Non-State Actors

2021 ◽  
pp. 57-72
Author(s):  
Cuong Nguyen ◽  
Thanh Phan
Keyword(s):  
Local Governments ◽  
Legal Framework ◽  
Economic Losses ◽  
Effective Governance ◽  
Contagious Diseases ◽  
Policy Information ◽  
State Actors ◽  
The Government ◽  
Medical Policy ◽  
Economic Considerations

This chapter examines Vietnam’s campaign against Covid-19. When the coronavirus outbreak emerged in the Chinese city of Wuhan, the government of Vietnam considered it a highly contagious disease and immediately implemented all necessary measures to protect people from the emerging pandemic, even if these strict measures resulted in massive economic losses. The chapter then introduces the regulatory framework which enabled the government and other non-state actors in Vietnam to fight the epidemic effectively. It also discusses how Vietnam contained the spread of the virus in practice from the perspectives of health and medical policy, information and technology, economic policy, and international cooperation. Ultimately, Vietnam’s unique response derives from four factors: (1) the policy that prioritized public health over economic considerations; (2) Vietnam’s having been well prepared for dealing with contagious diseases since the SARS outbreak in 2003 and the government immediately introducing strict measures to prevent the spread of Covid-19 when it emerged in China; (3) the legal framework specifying the roles of the central and local governments to avoid any bureaucratic delays in making decisions in an epidemic; and (4) the government flexibly combining coercive means with deliberate action, public education, effective governance, and effective coordination with the community and the private sector.

Mining optimism may not be fulfilled in Peru

2017 ◽  
Keyword(s):  
Climate Change ◽  
Foreign Investment ◽  
Mining Industry ◽  
Water Shortage ◽  
Mining Operations ◽  
Mining Sector ◽  
Content Type ◽  
Price Increases ◽  
Mining Investment ◽  
The Government

Subject Outlook for the mining sector. Significance Encouraged by this year’s price increases for most of Peru’s mineral exports, the government is seeking to push ahead with plans to attract much-needed foreign investment into the mining industry. This will involve politically contentious moves to deregulate some of the cumbersome procedures that affect investors. Impacts Next year’s growth target of 4% is probably over-optimistic. Social and environmental protests will add to the costs of mining investment in Peru. Once opposition has emerged to projects, it will prove difficult to reverse. Climate change will accentuate problems of water shortage for mining operations.

Estuaries in European Community Law: Defining Criteria

1998 ◽  
Vol 13 (1) ◽  
pp. 1-22 ◽  
Author(s):  
Philippe Sands ◽  
Caroline Blatch
Keyword(s):  
International Law ◽  
Judicial Review ◽  
Scientific Literature ◽  
Waste Water Treatment ◽  
High Court ◽  
The Government ◽  
Definition Of ◽  
Bodies Of Water ◽  
Economic Considerations ◽  
European Community Law

AbstractIn 1996, the English High Court quashed the Secretary of State's decisions to designate the Humber and Severn bridges as the outer limits of the Humber and Severn Estuaries, for the purposes of implementing the 1991 EC Directive on Urban Waste Water Treatment. The judicial review centred around the meaning of the term "estuary" which, although well established in scientific literature, has apparently never been subject to judicial consideration in EC or international law. In the absence of a clear definition of an estuary, the court held that in designating these bodies of water under the Directive, the government must take into account all the relevant circumstances relating to their objective characteristics-including salinity and topography-having regard to the purpose of the Directive. Economic considerations may not, however, be taken into account in this exercise, in the absence of express provision in the Directive to that effect.

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