Competition, Not Regulation – or Regulated Competition?

2015 ◽  
Vol 6 (3) ◽  
pp. 405-417
Author(s):  
Alexia Herwig

GATT Article III:4 aims at equal treatment in respect of competitive opportunities of imports and competing domestic products by preventing protectionism. A key question is whether regulations with heavier burdens on imported products than on domestic products and a valid regulatory purpose are consistent with Article III:4. Inquiry into regulatory purpose under Article III:4 would allow by-passing Article XX whose list of regulatory objectives is a closed one and which puts the burden of proof on the defending WTO member. In EC-Seal Products, the Appellate Body has rejected any role for the regulatory purpose inquiry under Article III:4. This article shows why a purely empirical definition of likeness and less favourable treatment as disparate impact cannot logically lead to a finding of a violation of Article III:4. It then argues that regulatory purpose continues to play a role under Article III:4 because of the centrality of the notion of competition. It proposes to frame that competition as perfect competition. It shows that the adoption of perfect competition as the evaluative benchmark for all of Article III:4 makes better legal sense than starting from imperfect competition for the likeness analysis and perfect competition for the less favourable treatment standard, as is proposed in the literature. It also shows that even in case where imperfect competition is used as the sole benchmark for both parts of Article III:4, an assessment of how regulation interacts with competition continues to play some role.

2005 ◽  
Vol 22 (1) ◽  
pp. 63-80 ◽  
Author(s):  
Jorge Niosi ◽  
Maryse Bergeron ◽  
Michèle Sawchuck

Technological cooperation between business enterprises has become common-place over the past ten years or so, following an increase in the uncertainty, risk, and costs of research and development brought about by growing international competition and the unsettling impact of data processing technologies (and to a lesser degree biotechnologies) throughout the entire industrial sector. Strategies in R&D cooperation, first adopted by Japanese corporations, were copied by European firms in the early 80s and then by American and Canadian corporations later on. Governments have got in on the action through policies for encouragement of collective R&D. Current theories in economies and business administration are not very useful for understanding this phenomenon. Neo-classical economies' assumption of perfect competition, as well as dissertations on product obsolescence and transaction costs, permeate theories in business administration and do not help us comprehend this new organizational phenomenon. We have, however, come across some crucial leads towards an explanation in certain models of imperfect competition and in managerial studies on informal cooperation by businesses in R&D.


2020 ◽  
Vol 19 (2) ◽  
pp. 316-340
Author(s):  
Pramila Crivelli ◽  
Luca Rubini

AbstractThis article reviews the Appellate Body decision in the implementation phase of the EC–Aircraft dispute. Focusing on some of the key findings, we assess whether they are legally and economically correct. We conclude that (a) though still unclear, the test for establishing de facto contingency on import substitution subsidies is probably too demanding; (b) though legitimate, the interpretation of the remedy of removal of the adverse effects for actionable subsidies is the weakest and most deferential possible; (c) the hesitation in confirming that quantitative methods are the key tool to define the relevant market is unwelcome; and (d) the Appellate Body correctly recognize the importance for Panels to consider, in the context of the serious prejudice analysis, whether the like product of the complainant has been subsidized. Most importantly, the analysis of this case, set within the broader jurisprudence and practice, has led us to conclude that WTO subsidy disciplines are not particularly strong. The review of the main economic theories justifying subsidy control (strategic trade policy, terms of trade, private information, commitment theory) has shown that no single theory is able to fully account for subsidies and the need to control them. The key question is the definition of what we want to achieve by controlling subsidies, which is the main message sent to the policy-makers and negotiators that are currently considering law reform.


Author(s):  
Wintgen Robert

This commentary analyses Article 10.4 of the UNIDROIT Principles of International Commercial Contracts (PICC) concerning new limitation periods by acknowledgement. All major jurisdictions accept that a new limitation period starts to run if the obligor acknowledges the obligee's right. This rule is consistent with the policy considerations underlying limitation periods, since an acknowledgement makes it clear that the obligor is aware of its debt. According to Art 10.4, if the obligor before the expiration of the general limitation period acknowledges the right of the obligee, a new general limitation period begins on the day after the day of the acknowledgement. The maximum limitation period does not begin to run again, but may be exceeded by the beginning of a new general limitation period under Art 10.2(1). This commentary considers the definition of acknowledgement, the time of acknowledgement, burden of proof relating to the new limitation period, and effects of the obligor's acknowledgement of the obligee's right.


Author(s):  
Patricia Findley

The role of disability rights has developed and evolved over the course of the United States’ history. The definition of disability has broadened as well as the pursuit for equal treatment, inclusion, and more accessible environments. Key pieces of legislation such as the Mental Retardation Facilities and Community Mental Health Centers Construction Act, the Rehabilitation Act, the Individuals with Disabilities Education Act, and the Americans with Disabilities Act demonstrate a course of steps toward these more empowering themes of independence for those with disabilities. Disability advocates are strong in their message of “nothing about us, without us.” The disability rights movement helped to propel culture shifts and has promoted inclusion of individuals with disabilities. Despite the intention of disability policy to move the nation to more accessible, inclusive, and less discriminatory environments, more work is still needed to support the rights of those with disabilities.


2017 ◽  
Vol 111 ◽  
pp. 53-55 ◽  
Author(s):  
Laurence Boisson de Chazournes

The classical approach to investment protection is that states have obligations and investors have rights. However, there are emerging trends in favor of a rebalancing of rights and obligations of states and investors. In the context of this recalibrated approach, more attention is given to the definition of substantive provisions, such as the fair and equitable treatment standard. There is also a move from investor protection to investor responsibilization. This emerging responsibilization trend can be observed, for example, in recent treaties negotiated on the African continent, and it is also making a foray into customary international law.


2019 ◽  
Vol 10 (4) ◽  
pp. 370-385
Author(s):  
Vincenzo Ferrante

The European Union competences on health and safety of workplace constituted the legal basis for the 93/104 Directive to be adopted (and for the consolidated text of 2003/88 Directive). The Court of Justice has firmly maintained this approach refusing to take into account the history of international regulation on working time, which links together work and salary in perspective to give the workers the right to fair and equal treatment as regards their working conditions (as has been recently proclaimed also by the European Pillar of Social Rights). Building on these general premises, this article analyses the more recent European pieces of legislation and cases related to on-call time and proposes a new model for the definition of working time in the light of CJEU case law.


2013 ◽  
Vol 12 (2) ◽  
pp. 163-193 ◽  
Author(s):  
WILLIAM J. DAVEY ◽  
KEITH E. MASKUS

AbstractThis paper analyzes a number of economic and legal issues raised by the Appellate Body Report in the Thai–Cigarettes case. The paper suggests two improvements that could be made to Panel procedures; supports the Appellate Body's interpretation of Article XX(d) in the present case, which seems to discard an earlier mistaken approach to Article XX; and examines, in some detail, whether the Appellate Body's application of the ‘less favourable treatment’ component of GATT Article III:4 in this and other cases is consistent with its jurisprudence under GATT Article III:2 and TBT Article 2.1. From an economics perspective, the case is straightforward on its face. However, the Appellate Body's rigorous application of the ‘less favourable treatment’ principle might not survive a fuller market analysis in terms of policy impacts on conditions of competition. Further, while we agree with the rejection of Thailand's Article XX claim, we raise the question of whether a strict national-treatment rule may be an unwarranted constraint on policy where there is a clear trade-related external cost to address.


2010 ◽  
Vol 9 (1) ◽  
pp. 239-263 ◽  
Author(s):  
PAOLA CONCONI ◽  
Jan Wouters

AbstractThis paper critically reviews the main findings of the Appellate Body in the case India – Additional and Extra-Additional Duties on Imports from the United States (India–Additional Import Duties). This ruling sheds light on the interplay between two core provisions of the GATT, namely Article II GATT (Schedules of Concessions) and III GATT (National Treatment on Internal Taxation and Regulation). Linked to this demarcation, the question on the allocation of the burden of proof was a central point of contention in this dispute. The ruling also establishes the principle that WTO Members are allowed to use border tax adjustments, as long as the tax imposed on imports does not exceed the domestic tax. We argue that this principle can help to reconcile the objectives of the WTO with those of national governments.


2020 ◽  
Vol V (II) ◽  
pp. 312-326
Author(s):  
Wei- Bin Zhang

The purpose of this study is to deal with dynamic interdependence between economic growth, economic structure, and residential distribution. It develops a spatial dynamic economic model on basis of microeconomic foundation. It integrates the economic mechanisms of the Solow one-sector growth model, the Alonso spatial residential model, and the Dixit-Stiglitz equilibrium model with imperfect market. We apply neoclassical economic growth of perfect competition to describe the growth determinant, the neoclassical urban residential model to determine residential location, and the basic model of new growth theory with imperfect market to take account of perfect and imperfect competition in spatial equilibrium structure. The basic economic mechanisms of the three approaches are integrated by using Zhang new approach to formally model household behavior. We determine the motion by simulation. Then we conduct comparative dynamic analysis to analyze how exogenous changes in different parameters affect residential distribution, economic growth, and economic structure. The study shows how changes in preferences and technologies affect economic growth, economic structure, land rent, and residential distribution.


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