Merger policy overhaul: Market monopolization may not lead to higher prices.
The article explores how certain factors can prevent prices from going up after companies merge. By using a model that looks at how demand and costs are connected, the researchers found that if companies in different markets start selling more products after a merger, prices might not increase much. Even if one company becomes a monopoly, prices may not necessarily go up if demand and costs are linked in a specific way. These findings could help shape merger policies and guidelines in today's digital economy.