Preview

Journal of Modern Competition

Advanced search

Non-competitive agreements between auction participants: the case of Russia

EDN: UXUXKX

Abstract

Non-competitive behavior of auction participants is a serious problem, leading to losses of economic efficiency of projects where the mechanism is used. Such violations are quite common in Russia and are traditionally in the focus of attention of antitrust authority. In practice, the prosecution of competition-restricting agreements is often problematic, given the diversity of their forms and underdeveloped standards of proof. This, in turn, weakens the deterrent effect of antitrust prohibitions.The purpose of the article is to assess the role of the parameters of the auctions and standards of proof applied in the Russian antitrust investigations which they play in opposition to the conclusion of the competition-restricting agreements in competitive bidding. To achieve this goal in this study we generalize the results of theoretical studies devoted to the analysis of collusion in auctions. We also analyze the most common violations of the antitrust law by auction participants found in the Russian practice. The case study method is used to identify the parameters of the auctions, facilitating entering into competition-restricting agreements, as well as problematic issues related to attracting bidders to justice for anti-competitive behaviour.

About the Author

S. Golovanova
National Research University Higher School of Economics, Competition and Economic Regulation Research Center; Russian Presidential Academy of National Economy and Public Administration


References

1. Авдашева С. Б. Незаконность молчаливого сговора в российском антимонопольном законодательстве: могут ли экономисты быть полезны при выработке юридических норм? // Вопросы экономики. 2011. № 5. С. 87-102

2. Авдашева С. Б., Цыцулина Д. В. О влиянии регулярности конкурсной процедуры и дробления лотов на конкуренцию между поставщиками и результаты закупок // Менеджмент и бизнес-администрирование. 2014. № 1. C. 20-35

3. Павлова Н. С. (ред.). Экономический анализ в применении норм антимонопольного законодательства. Эмпирические оценки и пути развития. М.: МАКС Пресс,2014

4. Шаститко А. Е. Координационные и распределительные эффекты ошибок I и II рода // Экономическая политика. 2011. № 1. С. 114-124

5. Шаститко А. Е. Картель: организация, стимулы, политика противодействия // Российский журнал менеджмента. 2013. Т. 11. № 4. С. 31-56

6. Assessing the impact of public sector procurement on competition. Office of Fair Trading, 2004. vol. 1. URL: http:// www.oft.gov.uk/shared_oft/reports/comp_policy/oft742b. pdf

7. Bagwell K., Staiger R. W. Collusion over the Business Cycle // The RAND Journal of Economics. 1997. Vol. 28. No. 1. Р. 82-106

8. Buccirossi P. Auction size and collusion. 2004. URL: http://www.learlab.com/pdf/auction_size_and_collusion_1255442340.pdf

9. Calzolari G., Spagnolo G. Reputational commitment and collusion in procurement //International public procurement conference proceedings, 2006. pp. 221-278. URL: http://www.ippa.org/IPPC2/PROCEEDINGS/Article_10_Calzolari_Spagnolo.pdf

10. Compte O., Jenny F., Rey P. Capacity Constraints, Mergers and Collusion // European Economic Review. 2002. Vol. 46. No. 1. Р. 1-29

11. Анализу последствий ошибок I и II рода применительно к антимонопольной политике посвящена работа [Шаститко, 2011]. Опасности применения упрощенного подхода к квалификации горизонтальных связей между участниками рынка в качестве картелей анализируются в [Шаститко, 2013]

12. Grimm V., Pacini R., Spagnolo G., Zanza M. Division into lots and competition in procurement. Handbook of procurement / eds. by Dimitri N., Piga G., Spagnolo G. Cambridge University Press, 2006. Р. 168-192

13. Haltiwanger J., Harrington J. The Impact of Cyclical Demand Movements on Collusive Behaviour // RAND Journal of Economics. 1991. Vol. 22. Р. 89-106

14. Heimler A. Cartels in public procurement // Journal of competition law and economics. 2012. Vol. 8. no. 4. Р. 849-862

15. Ivaldi M., Jullien B., Rey P., Seabright P., Tirole J. The economics of tacit collusion. IDEI, Toulouse, Final report for DG Competition, European Commission. 2003. URL: http:// ec.europa.eu/competition/mergers/studies_reports/the_ economics_of_tacit_collusion_en. pdf

16. Jacquemin A. and Slade, Margaret E. Cartels, collusion and horizontal merger, in Schmalensee R. and R. D. Willig (Eds.) Handbook of Industrial Organization, Amsterdam, Elsevier North-Holland, 1989

17. Klemperer P. What Really Matters in Auction Design // Journal of Economic Perspectives. 2002. Vol. 16. No. 1. Р. 169-189

18. Kovacic W., Marshall R., Marx L., Raiff M. Bidding rings and the design of anti-collusive measures for auctions and procurements. Handbook of procurement / ed. Dimitri N., Piga G., Spagnolo G. Cambridge University Press, 2011

19. Reith M. Product Differentiation, Uncertainty and the Stability of Collusion // London School of Economics - STICERD Discussion Paper Series EI/16:49. 1996

20. Rotemberg J., Saloner G. Supergame-Theoretic Model of Business Cycles and Price Wars during Booms // American Economic Review. 1986. Vol. 76. Р. 390-407

21. Stenbacka L. R. Collusion in Dynamic Olygopolies in the presence of entry threats // Journal of Industrial Economics. 1990. Vol. 39. No. 2. Р. 147-154


Review

For citations:


Golovanova S. Non-competitive agreements between auction participants: the case of Russia. Journal of Modern Competition. 2015;9(4):65-76. EDN: UXUXKX

Views: 4


Creative Commons License
This work is licensed under a Creative Commons Attribution 4.0 License.


ISSN 1993-7598 (Print)
ISSN 2687-0657 (Online)