University of Virginia Legal Working Paper Series

University of Virginia Public Law and Legal Theory Working Paper Series

 

The Problem with Cooperation

Paul B. Stephan, University of Virginia School of Law

Article comments

Chapter for book on international regulatory cooperation to be published by Oxford University Press

Abstract

The case for international cooperation in competition policy is weaker than commonly thought. First, the lion's share of international transactions (the only kind for which international cooperation is relevant) involves industries for which there is no clear consensus about optimal industry structure. Second, there are strong theoretical reasons why states would exploit all forms of regulation, including competition regulation, to benefit incumbent producers to the cost of consumers. Third, the historical record demonstrates that states have invoked competition policy exactly in this manner. Fourth, arguments that competition regulators can gain solidarity and increased leverage against their domestic adversaries through strengthened international cooperation do not withstand scrutiny.

Subject Area

International Law, Public Law and Legal Theory

Recommended Citation

Paul B. Stephan, "The Problem with Cooperation" (June 2009). University of Virginia Legal Working Paper Series. University of Virginia Public Law and Legal Theory Working Paper Series. Working Paper 126.
http://law.bepress.com/uvalwps/uva_publiclaw/art126

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