20 Conn. L. Rev. 523 (1987-1988)
Vertical Integration, Tying, and Alternative Vertical Control Mechanisms

handle is hein.journals/conlr20 and id is 537 raw text is: CONNECTICUT
LAW REVIEW

VOLUME 20              SPRING 1988             NUMBER 3

VERTICAL INTEGRATION, TYING, AND
ALTERNATIVE VERTICAL CONTROL
MECHANISMS
by Roger D. Blair* and David L. Kaserman**
Over thirty years ago, Robert Bork observed that [a] comparison
of the law and the economics of vertical integration makes it clear that
the two bear little resemblance.' For nearly twenty years, little pro-
gress was made toward a reconciliation.' Since the early 1970's, how-
* Professor of Economics, University of Florida. B.A., M.A., Ph.D., Michigan State University.
** Professor of Economics, Auburn University. B.S., University of Tennesse; Ph.D., University
of Florida. The authors appreciate the financial support provided by the Public Policy Research
Center at the University of Florida. Helpful comments were provided by Jeffrey Harrison al-
though he cannot be blamed for any errors.
1. Bork, Vertical Integration and the Sherman Act: The Legal History of an Economic Mis-
conception, 22 U. Cm. L. REv. 157, 201 (1954) (arguing that the concept of vertical integration is
inappropriate both for purposes of the Sherman Act and as a tool for economic analysis in that
such integration confers no ability upon a firm to either alter market price, impede entry, or
employ predatory tactics).
2. See Hay, An Economic Analysis of Vertical Integration, I INDUS. ORG. REv. 188 (1973)
(There is probably more disagreement among lawyers and economists on the subject of vertical

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