Merger Guidelines for the Labor Market

Comments on the 2023 Draft Merger Guidelines: A Labor Market Perspective

“…3 Our estimated model supports the view that workers' willingness to move across labor markets is low. Estimated markdowns in single-firm markets are over 70% (Berger, Hasenzagl, Herkenhoff, Mongey, and Posner, 2023). Consequently, our quantitative merger simulations imply that stricter definitions of "highly concentrated markets" are warranted.…”

An Anatomy of Monopsony: Search Frictions, Amenities and Bargaining in Concentrated Markets

“…See https://www.ftc.gov/legal-library/browse/federal-register-notices/non-compete-clause-rulemaking 30 SeeBerger, Hasenzagl, Herkenhoff, Mongey, and Posner (2022) for an extensive discussion of the role antitrust authorities could play in addressing monopsony power.…”