Application Of Monopoly Leverage Theory In The Determination Of The Illegality Of Monopoly Behavior

In the field of Internet economy,there is a widespread phenomenon that platforms use their dominant power in the basic market to obtain competitive advantage in the expanded business market or consolidate the competitive advantage in the basic market.At present,there is less attention to such cross market abuse of market dominant position with the transmission of monopoly power and its possible competitive damage;China’s determination of the illegality of monopoly behavior is often carried out in a single market.It is not clear whether it can regulate the abuse of market dominance against relevant markets and the monopoly power from other markets across the market.Therefore,it is necessary to study whether the above problems can be solved by introducing the monopoly leverage theory.The first part of this paper mainly summarizes the monopoly leverage theory,which is considered as one of the criteria to judge whether the operator’s behavior violates Sherman’s Article2 in American Antitrust Practice.This theory holds that the monopoly power of the monopolist in the first market can be transmitted to the second market,and finally establish market advantage in the second market or consolidate the market advantage of the first market.If the monopoly lever is established in a case,it can prove that the suspected monopoly behavior causes more serious competitive damage by virtue of the transmission of monopoly power,so the behavior has a great possibility of breaking the law;With the denial of this theory by the Chicago school,the American court also confirmed in its judgment that it should determine whether the monopoly lever in the case is established based on whether it ultimately causes "substantial monopoly or threat of substantial monopoly" to the adjacent market,which leads to the difficulty of establishing the monopoly lever.The second part introduces the abuse of market dominance in China.The homogenization of key production factors such as traffic,data and algorithms controlled by the Internet platform has greatly facilitated its adoption of relevant behavior transmission power,accelerated the establishment of competitive advantage in other markets,and also led to a wide range of cross market abuse.However,China’s antitrust lacks relevant regulatory rules.The third part mainly introduces the use of monopoly leverage by Internet platform and its anti competitive harm.The use of monopoly leverage by the platform is mainly to achieve the dominant position in other markets as soon as possible or consolidate the dominant position in the basic market.This process may also produce anti competitive effect,that is,it may cause undue damage to the interests of consumers,innovation ability and other operators.The fourth part mainly introduces the application difficulties of monopoly leverage theory.Due to the high standard of the effect elements of the monopoly leverage theory,it is difficult to use the monopoly leverage theory in the Internet field and regulate the anti competitive behavior with advantage transmission.In the Internet field,the monopoly leverage theory applying the loose effect elements can solve the regulation of cross market abuse of market dominant position.We can consider the economic basis of the establishment of the monopoly leverage theory proposed by the post Chicago school,take "increasing the cost of competitors" as the economic basis,take objectively causing serious competition damage as the effect element of the establishment of monopoly leverage in the case,and reasonably expand the scope of application of monopoly leverage,So that the monopoly power can be effectively connected with the cross market anti competitive effect.The EU will flexibly apply the monopoly leverage theory in the identification of the cross market abuse of market dominance by platforms.When it is confirmed that there is irreparable competition damage,it can identify the illegality of the abuse of market dominance.The fifth part mainly introduces the significance and specific application path of applying monopoly leverage theory in the determination of the illegality of cross market abuse of market dominant position in China.In terms of application,the theory of monopoly leverage can confirm the causal relationship between the use of monopoly leverage and anti competitive effect,and effectively regulate the competitive behavior that causes serious competitive damage.As for the applicable path,after defining the market and the dominant position of monopolists,we should first clarify the objective existence of cross market abuse.Secondly,the monopoly power of the basic market is the main reason for obtaining the competitive advantage of the basic market or other markets.Finally,the combination of monopoly power and specific anti competitive behavior directly leads to the occurrence of serious competition damage that is difficult to make up in the end,Realize the effective recognition of the illegality of cross market abuse of market dominant position.