Partisan preferences for antitrust policy

Abstract Industrial concentration has increased in recent years with large companies consolidating their dominant positions. Concentrated markets are thought to benefit large firms as they earn elevated profits and gain political influence. Antitrust law is the main policy tool to reduce concentration. Calls to strengthen antitrust have come from the political left and the right, yet we know little about public support for such policies. We test how economic, moral, and democratic concerns influence support for antitrust. We find that the public does not respond to the consumer price benefits of antitrust but is moved by arguments invoking concerns for fairness and the importance of maintaining democratic institutions. We find that Republicans and Democrats often respond in divergent ways, with Republicans being less supportive of antitrust when informed that it could punish successful companies, whereas Democrats are more concerned about using antitrust to curb corporate influence. The findings accord with a general concern on the left for limiting business influence in politics and a concern on the right for maintaining business growth.