Cartel screening

The process of flagging unlawful behavior through economic and statistical analyses is commonly known as "screening".

It involves statistical tests based on an econometric model and a theory of the alleged illegal behavior, designed to identify whether manipulation, collusion, fraud, or any other type of cheating may exist in a particular market. The instrument then further investigates who may be involved, and how long it may have lasted. For screening EE&MC uses commonly available data such as prices, market shares, spreads, production volumes, and other data to identify patterns that are anomalous or highly improbable. To appropriately develop and implement an effective antitrust screen for cartel behavior, one must have a deep understanding of the market at hand including its key drivers, the nature of competition and forms of potential incentives to cheat. This results in EE&MC designing a statistical model capable of capturing key factors of the relevant antitrust behaviour.

EE&MC applies the Coordination Failure Diagnostics (CFD) model: it detects specific abnormalities in processes to find evidence of the prevalence of cartels.

"Screens" can be very powerful tools when properly developed and implemented. However, they do require expertise. Our experts are equipped with the necessary tools and extensive experience to successfully conduct these investigations.