Predatory Price Cutting: Notes and Comments

  title={Predatory Price Cutting: Notes and Comments},
  author={B. Yamey},
  journal={The Journal of Law and Economics},
  pages={129 - 142}
  • B. Yamey
  • Published 1972
  • Economics
  • The Journal of Law and Economics
IN various post-war contributions to the analysis and empirical study of predatory price cutting, the practice has been defined as temporary selling, at prices below its costs, by a firm (or concerted group of firms) to drive out or crush a competitor. For convenience, the two firms will be called aggressor and rival, or predator and victim. An early contribution, by John S. McGee, broke new ground by arguing that price cutting of this kind is not a sensible or profitable strategy for an… Expand