Research

Product Networks and the Competitive Effects of Acquisitions

with  Shanglyu Deng, Mario Leccese & Marco Loseto

• DOI: dx.doi.org/10.2139/ssrn.6434338

• We develop a network-based screening framework to evaluate the effects of horizontal acquisitions. Leveraging tools from network theory, we show that the effect of a change in ownership can be locally decomposed into an upward-pricing-pressure component and a network-centrality component that captures how pricing pressure propagates through the system of competing products. For full mergers, the change in network-centrality summarizes the unilateral effect, yielding a screening statistic that can be computed with data commonly available in merger investigations. Using price and quantity data from the European automobile industry, we show that the network model matches substitution patterns and simulated merger effects from a random-coefficients nested-logit benchmark. We further show that changes in centrality provide substantial incremental explanatory power for predicted price effects beyond both the Gross Upward Pricing Pressure Index and changes in concentration. In screening exercises, we quantify the gains from complementing traditional screening tools with centrality-based rules.

Supporting micro and small enterprises through public policies: Impact assessment of Brazil’s preferential public procurement policy (2026)

with  Eduardo P. S. Fiuza, Carlos Henrique L. Corseuil, Mauro O. Nogueira, Matheus Stivali, Leandro P. da Rocha & Jonathan A. S. de Oliveira, synthesized and technically edited by Huong Thu Ngo

• International Labour Organization - DOI: https://doi.org/10.54394/HNAI8054

• The paper presents four empirical studies conducted by the Institute of Applied Economic Research (IPEA) in collaboration with the ILO, evaluating key policy instruments, including set-aside programmes, simplified tax regimes, extended compliance deadlines and preferential bidding mechanisms.

Set asides and value thresholds in Brazilian public procurement from small businesses

• European Association for Research in Industrial Economics - EARIE 2023

•  Link to paper