Uber under the antitrust microscope
In a new article titled “Antitrust As Allocator of Coordination Rights,” Wayne State University Assistant Professor of Law Sanjukta Paul explains that antitrust law allocates the right to coordinate decisions such as pricing or output across economic agents, and does so favorably for large powerful firms but unfavorably for workers’ organizations and small businesses or “micro-enterprises.” The ostensible basis to prefer coordination by large firms is promoting competition through the pursuit of efficiency. But even that basis, Paul argues, fails to explain many antitrust decisions that yield significant coordination rights to large firms while undermining competition via concentrating power. To reach parity of treatment between these varieties of coordination, Paul calls for liberalizing horizontal coordination rights beyond firm boundaries while providing mechanisms for public oversight.