CLASSIFICATION OF THE CARTELS ON THE BASIS OF PRICE FLEXIBILITY AND THER’S CONCENTRATION APPLYING A FUZZY INFORMATION MATRIX Cover Image

KARTELLEK OSZTÁLYZÁSA AZ ÁRRUGALMASSÁG ÉS A PIACI KONCENTRÁCIÓJA ALAPJÁN. EGY FUZZY INFORMÁCIÓS MÁTRIX ALKALMAZÁS
CLASSIFICATION OF THE CARTELS ON THE BASIS OF PRICE FLEXIBILITY AND THER’S CONCENTRATION APPLYING A FUZZY INFORMATION MATRIX

Author(s): Attila Szöcs, Hunor Burián, Zoltán Makó
Subject(s): Social Informatics, Financial Markets
Published by: Scientia Kiadó
Keywords: cartels; price flexibility; leniency program; matrix; fuzzy numbers;
Summary/Abstract: The introduction (1996) of the leniency program into the competition law of the European Union and its subsequent development(2002 and 2006) can be regarded as an effective measure in the fight against cartels. In spite of the fact that the leniency program proved to be a successful weapon against cartels, the European Commission needs additional means of facilitating the process of decision-making. We developed a matrix type instrument which operates with two market factors: price elasticity and market concentration. Since the quantities of these factors are uncertain, they can be characterized by fuzzy numbers. Our work sets as its target to develop a frame which makes possible the characterization of the cartels based on these two factors of the markets on which the cartels are acting now, or are likely to act in the future. Firstly, based on the two factors, the matrix will provide us with nine raw categories, which will be refined in probability categories using a fuzzy information matrix. These categories could provide the Commission with a useful means for prediction.

  • Page Range: 103-117
  • Page Count: 15
  • Publication Year: 2009
  • Language: Hungarian
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