Review of Industrial Organization (2006) 29:305–326 © Springer 2006
The Year in Review: Economics at the Antitrust
ELIZABETH ARMINGTON, ERIC EMCH and KEN HEYER
Economic Analysis Group, Antitrust Division, U.S. Department of Justice, 600 E Street,
N.W., Suite 10000, Washington, DC 20530, U.S.A.
Abstract. This paper covers the activities of the Economic Analysis Group (EAG)
of the Antitrust Division, U.S. Department of Justice, during 2005–2006. It describes
the economic analysis undertaken by EAG in several important investigations, appellate
matters, and other activities as an advocate for competition.
Key words: antitrust, cartels, mergers, prisoner’s dilemma.
As in years past, this year’s report from the Economic Analysis Group
(EAG) of the Antitrust Division, U.S. Department of Justice, does not
attempt to cover completely the wide range of interesting and important
matters on which the Division’s economists have worked. Doing so would
require more pages than this journal is prepared to allocate. Rather, we
provide readers with information on several economically intriguing mat-
ters on which we have worked, and in particular with a ﬂavor of how we
have analyzed a number of speciﬁc economic issues that have come before
More frequently than in years past, the Division has been involved in
analyzing mergers where market concentration appeared to be very high
and therefore where, at least initially, competitive concerns appeared plau-
sible. In several of these matters, further investigation and analysis led the
Division to clear the merger, while in others the Division entered into a
consent decree with the parties that provided relief sufﬁcient to protect
competition, while at the same time allowing the merger to proceed.
The views contained herein are solely those of the authors and do not necessarily
represent those of the U.S. Department of Justice.
Author for correspondence: E-mail: firstname.lastname@example.org