Market Power

Over the last few years, market power has been one of the most widely discussed issues in the Asian public, as many Asian countries began to establish their competition law. The target is to eliminate the cost of market power, the decrease of social welfare and the increase of redistribution of wealth. Despite of this concern, few studies have been taken to investigate market power in Asian countries. This book, therefore, is expected to help fill the void. The Indonesian crude palm oil industry is chosen as a case study, as it known as the largest CPO producer in the world. Details of the estimation procedure in modeling and estimating market power are provided. In addition, this book also presents a critical review of various market power models, covering both static and dynamic models. These procedure and review will benefit students and researchers who study problems in market power. Finally, this book is concluded with several policy implications based on estimation findings, therefore, they might be useful as a reference for policy makers in addressing market power problems.