Decision Theory and Antitrust Rules

Abstract

There is ongoing controversy over the proper antitrust decision process that regulatory commissions and the courts should use to evaluate joint ventures and other horizontal restraints. This controversy involves the question of whether to analyze horizontal restraints under the per se rule, the classical rule of reason, the quick look, the Federal Trade Commission's inherently suspect standard, or some other antitrust standard.1 This controversy has spilled over into the area of vertical restraints as well.2 In granting certiorari in the California Dental Association case, the Supreme Court has indicated its willingness to revisit this issue.3

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