European Competition Policy Modernization: From Notification to Legal Exception

Loss, Frédéric; Malavolti-Grimal, Estelle; Vergé, Thibaud; Berges-Sennou, Fabian

Loss, Frédéric; Malavolti-Grimal, Estelle; Vergé, Thibaud; Berges-Sennou, Fabian (2008), European Competition Policy Modernization: From Notification to Legal Exception, European Economic Review, 52, 1, p. 77–98. 10.1016/j.euroecorev.2007.02.001

Type

Article accepté pour publication ou publié

Date

2008-01

Journal name

European Economic Review

Volume

Number

Publisher

International Arts and Sciences Press

Pages

77–98

Publication identifier

10.1016/j.euroecorev.2007.02.001

Metadata

Show full item record

Author(s)

Loss, Frédéric

Malavolti-Grimal, Estelle
ENAC - Laboratoire d'Economie et d'Econométrie de l'Aérien [LEEA]
Groupe de recherche en économie mathématique et quantitative [GREMAQ]
Vergé, Thibaud
CREST-LEI
Berges-Sennou, Fabian
Groupe de recherche en économie mathématique et quantitative [GREMAQ]

Abstract (EN)

Council Regulation (EC) 1/2003 came into force in May 2004 and replaced the mandatory notification of agreements by a regime of ex post monitoring. This paper shows that ex post monitoring is the optimal audit regime when the competition authority's probability of error is low. On the other hand, the notification system becomes optimal when the competition authority's probability of error is high. The paper also shows that block exemptions and black list (regimes of per se (il)legality) should be implemented when the agreements’ expected welfare impact is very high and very low, respectively.

Subjects / Keywords

Politique de la concurrence; Competition policy; Imperfect audit

JEL

D80 - General
L40 - General