The American Hospital Association and 21 other organizations want the federal government to hold the line on any further regulations impacting deal activity.
“We believe any current concerns with antitrust enforcement in the United States can and should be addressed by providing additional resources for enforcement agencies,” the groups wrote in a letter to ranking members of the House and Senate judiciary committees. “We strongly encourage Congress to refrain from making changes to the legal structures that have served consumers well, while also advancing our economic competitiveness.”
Instead of adopting proposals with the high potential for unintended consequences to consumers, markets, and economic dynamism, Congress should ensure that the merger review process remains impartial, the organizations wrote. The process should remain guided by the best interests of consumers and innovation.
“Mergers and acquisitions play a vital role within our competitive economy,” the letter continues. “When companies choose to merge, that activity often adds to our economic vibrancy. Such activity can drive capital formation, enable lower prices for consumers, and lead to innovative new products and services – all without any harm to competition. Mergers also provide acquired companies with critical financing, sometimes ensuring their survival, and allow acquiring companies to bring new products to consumers faster and cheaper.”
The groups said the government already has the power it needs to review and challenge the comparatively few mergers and acquisitions that raise competitive concerns, while still allowing markets to serve as the engine that determines economic efficiency. Read more.
