Question:
• In your opinion, why does Amazon want to acquire MGM Studios? Do you think MGM Studios will benefit from it?
• Discuss the potential welfare implications of this acquisition. Do you think the Competition Authorities should try to block it?
To answer these questions you should draw upon both theory and empirical evidence from the Industrial Organisation literature.
Use double spacing 12 point with generous margins since this helps the marker. Feel free to divide the text into sections if that helps the exposition. Include page numbers, word count and spell/grammar check.
All figures and Tables have to be labelled (for example, Table 2: Summary Statistics and Figure 4: Scatter Plot of Innovation on Competition). All tables and figures should be explained in the text and located close to where they are referred to. Never put a page break in a table or figure, and never separate a table/figure from its title.
List all the papers that you refer to (e.g. Farrell and Shapiro (1990) suggest…) at the end of your essay in a section entitled “Bibliography”. Please refer in your bibliography to all the papers that you use in sufficient detail that the material could be easily located by a reader. A minimal style would be: author(s), year, title, publisher/journal, Volume and page numbers (if the paper is published).

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