If you don’t know, you can pass: pass-on at the interface of economics and law

When faced with a cost shock—a tax increase or an overcharge following an antitrust infringement, for example—what can a firm do? And how can its actions be measured? Following publication of the European Commission’s guidelines for the assessment of pass-on in an antitrust damages setting, this article takes a wider look at the economic estimation of pass-on

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PR19 draft determinations: Key movements

Ofwat’s draft determinations for the non-fast-tracked companies, published a week ago, cover a wide range of issues (across several documents). Now that the dust is settling, it’s time to take stock. What are the key messages on efficiency and finance? The non-fast-track draft determinations are certainly more challenging on finance compared to Ofwat’s early view. Moreover,

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How do non-poaching agreements distort competition?

Agreements between firms not to hire each other’s workers have recently come under the radar of competition authorities, particularly in the USA. However, there is a question about whether labour markets come within the remit of competition authorities, and whether it is their role to intervene. If it is, how can tools developed in competition economics help in such cases?

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Will tech giants take over payments?

The Chinese payments industry has recently experienced significant disruptions from technology companies Alipay and WeChat. Although consumer preferences and the regulatory environment have played an important part in the success of Alipay and WeChat Pay in China, many factors are also applicable in the European context. With technology companies now evaluating opportunities in the European payments market (most recently, Facebook’s Libra), what can the Chinese example tell us about its likely evolution?

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Lifting the weight of state aid from project finance

In the EU, support provided by the state to finance projects operating in competitive markets typically needs to comply with state aid rules. However, there may be challenges in structuring project financing from the state in a way that is compliant with these rules. What are the fundamental elements to consider when assessing whether the funding confers an economic advantage on the recipient? What alternative financing structures could be considered?

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Oxera study on the supply of generic medicines in the UK

The UK pharmaceutical industry, and in particular the generic medicines segment within it, has grown significantly in recent years. For example, the use of generic medicines has doubled between 2005 and 2017 to reach 75% of total prescriptions. At the same time, they account for only 28% of NHS spending on drugs valued at reimbursement prices.

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Speech: price formation and market data

We (at Oxera) have been working with FESE and its members over the past few months to study how the functioning of equity markets in Europe has changed over that time, focusing on the role of price formation and market data.

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Oxera’s expert evidence helps Vale to achieve a successful outcome

  Oxera’s expert evidence helps Vale to achieve a successful outcome in a multi-billion-dollar international arbitration. An LCIA tribunal, established in respect of the dispute between Vale (a Brazilian mining company) and BSG Resources (a mining company registered in Guernsey), has ruled in favour of Vale with an award of over US$1.2bn in damages. Together

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A flood of interest: Flood Re makes its mark

Flood Re, a pioneering flood insurance levy scheme in the UK, is celebrating its third birthday. Since its launch in April 2016, the scheme has helped over 200,000 households, and is now increasingly looking at how it can help the market to transition to ensure that Flood Re is no longer needed by 2039. Aidan Kerr, Director of Operations at Flood Re, explains the scheme’s history and underlying social purpose

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