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Can Erutku and Vincent Hildebrand
 
''Synthetic control method at the pump: The Petro-Canada/Suncor merger ''
( 2017, Vol. 37 No.4 )
 
 
We use the synthetic control method to measure the impact of the 2009 merger between Suncor and Petro-Canada on retail gasoline prices in Toronto. We find that the merger did not lead to a substantial lessening of competition, perhaps due to the divestiture process or from the remaining effective competition post-merger. Because the analysis is very economical in terms of data requirement, the synthetic control method may be useful in antitrust analysis and merger control, particularly in industries where products are relatively homogeneous.
 
 
Keywords: Synthetic control, Gasoline, Merger
JEL: L1 - Market Structure, Firm Strategy, and Market Performance: General
L4 - Antitrust Issues and Policies: General
 
Manuscript Received : Aug 03 2017 Manuscript Accepted : Nov 19 2017

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