Competition Law as Development Policy: Evidence from Poland

2009 ◽  
Vol 2 (1) ◽  
Author(s):  
Reza Rajabiun
Keyword(s):  
Law And Economics ◽  
Competition Law ◽  
Market Mechanisms ◽  
Market Participants ◽  
Rule Of Reason ◽  
Regulatory Constraints ◽  
Competition Laws ◽  
Considerable Controversy ◽  
Legal Constraints

The relationship between the design of competition laws and economic outcomes remains the subject of considerable controversy in both law and economics. Recent cross-national studies suggest that effective legal constraints against anticompetitive practices can enhance prospects for economic development by increasing the number of market participants and the quality of broader political and economic institutions. This paper explores the linkages between regulatory constraints against anticompetitive practices and the efficiency of market mechanisms by focusing on the experience in Poland between the collapse of central planning and regulatory harmonization pursuant to European Union accession. The analysis suggests that per se prohibitions and a narrow bureaucratic mandate provided relatively credible and predictable constraints against anticompetitive agreements and practices during the formative days of the market system in Poland. The evidence has implications for other jurisdictions that instead implement the rule-of-reason approach to the design of competition law during the 1980s and 1990s.

Modernization of Antimonopoly Policy in Russia (Economic Analysis of Proposed Changes in the Competition Law)

2005 ◽  
pp. 100-116
Author(s):  
S. Avdasheva ◽  
A. Shastitko
Keyword(s):  
Economic Analysis ◽  
Financial Markets ◽  
Financial Services ◽  
Competition Law ◽  
Commodity Markets ◽  
State Aid ◽  
Executive Power ◽  
Rule Of Reason ◽  
Per Se

The article is devoted to the analysis of the draft law "On Protection of Competition", which must substitute the laws "On Competition and Limitation of Monopolistic Activity on Commodity Markets" and "On Protection of Competition on the Financial Services Market". The innovations enhancing the quality of Russian competition law and new norms providing at least ambiguous effects on antimonopoly regulation are considered. The first group of positive measures includes unification of competition norms for commodity and financial markets, changes of criteria and the scale of control of economic concentrations, specification of conditions, where norms are applied "per se" and according to the "rule of reason", introduction of rules that can prevent the restriction of competition by the executive power. The interpretation of the "collective dominance" concept and certain rules devoted to antimonopoly control of state aid are in the second group of questionable steps.

Is protecting sunk investments an economic rationale for antitrust law?

2020 ◽  
Author(s):  
Darryl Biggar ◽  
Alberto Heimler
Keyword(s):  
Alternative Hypothesis ◽  
Competition Law ◽  
Consumer Welfare ◽  
Antitrust Law ◽  
Market Participants ◽  
Specific Investments ◽  
Trade Offs ◽  
Trading Partners ◽  
Competition Laws ◽  
Economic Foundation

Abstract In recent years, the economic foundation of antitrust law is increasingly being called into question. The hypothesis that antitrust law seeks to promote consumer welfare has historically been extremely popular but in recent years has come under attack. In part, this is due to the fact that neither the law, nor the decisions of competition law enforcers, can be fully explained as consistent with a strict consumer welfare standard. Neither do competition laws promote a textbook concept of total economic welfare, neither in their wording, nor in the way they are enforced. Some commentators argue that competition law should protect the competitive process, but this approach lacks a foundation in welfare economics and therefore lacks the ability to make basic trade-offs between desirable goals. This article puts forward an alternative hypothesis, which focuses on the sunk, relationship-specific investments made by market participants. We propose that an important, and overlooked, role of competition law is to protect trading partners from the threat of hold-up, where it is unreasonable for the parties to use conventional mechanisms to protect those sunk investments themselves. This approach can help to explain features of competition law and law enforcement that cannot be explained by the traditional consumer welfare or total welfare frameworks. We suggest that this approach offers promise as providing a consistent, comprehensive, economic foundation for competition law.

The relevant market in competition law: a legal concept

2019 ◽  
Vol 7 (2) ◽  
pp. 158-176
Author(s):  
Viktoria H S E Robertson
Keyword(s):  
Law And Economics ◽  
Competition Law ◽  
Market Definition ◽  
Relevant Market ◽  
Legal Concept ◽  
Normative Force ◽  
Economic Concept ◽  
Competition Laws ◽  
The Law ◽  
Concept Building

Abstract In competition law, the relevant market acts as a filter that delineates that part of commerce within which competition law assesses companies’ market behaviour. This contribution considers how competition law can reconcile the legal concept of the relevant market with its economic roots. It argues that for market definition—like for many an economic concept—a spectrum opens up between law and economics. On the economics side of the spectrum, economics may take on a more determinative role almost amounting to normative force. This places considerable pressure on the integrity of economics. On the law side of the spectrum, the relevant market is looked at through the prism of the law and is seen as a legal concept building upon an economic one. Here, economics is assigned an interpretive role. A plethora of different positions are possible along the spectrum, and different actors may place themselves at different locations under different circumstances or at different points in time. If it is acknowledged that the relevant market concept acquires a distinct legal conception through its incorporation into the competition laws, then this has far-reaching repercussions on our entire conception of competition law. This view effectively calls into question not only competition law’s understanding of the relevant market, but also the prevailing understanding of other shared legal and economic concepts.

Regulating Proxy Advisors Through Transparency: Pros and Cons of the EU Approach

2017 ◽  
Vol 14 (1) ◽  
pp. 1-36 ◽  
Author(s):  
Gaia Balp
Keyword(s):  
Status Quo ◽  
Legislative Process ◽  
European Regulation ◽  
The Us ◽  
The Status ◽  
Pros And Cons ◽  
Proxy Advisors ◽  
Legal Constraints ◽  
The Eu

This article outlines potential pros and cons of a future European regulation of proxy advisory firms, as set forth in the Commission’s Proposal for a Directive amending Directive 2007/36/EC. After summarizing criticisms concerning the proxy advisory industry, and findings regarding its de facto influence on investors’ voting conduct both in the US and in the European context, the article adverts to why the power of proxy advisors appears to be overestimated. Uncertainty on the status quo of the industry’s actual impact on key decisions in listed companies, as well as costs associated with a regulation, need to be considered for assessing the suitability of the rules drafted to ensure adequate levels of independence and quality of voting recommendations. While transparency rules may be preferred to stricter legal constraints or requirements in a first stage, possible shortcomings of the Draft Directive exist that may undermine its effectiveness. Analyzing the amendments to the Proposal adopted by the European Parliament, and the Council’s Presidency compromise text, may suggest a preferable approach as regards single rules still making their way through the European legislative process.

The Use of Fuzzy Logic in Shipping and Shipbuilding Market Modeling, Analysis, and Forecasting

1996 ◽  
Vol 12 (02) ◽  
pp. 85-98
Author(s):  
Jun Li ◽  
Michael G. Parsons
Keyword(s):  
Fuzzy Logic ◽  
Fuzzy Systems ◽  
Freight Rate ◽  
New Order ◽  
Market Mechanisms ◽  
Promising Alternative ◽  
Market Participants ◽  
Model Free ◽  
Modeling Analysis ◽  
Oil Tanker

Fuzzy logic is a technique that attempts to systematically and mathematically emulate human reasoning. This paper investigates the feasibility of applying fuzzy logic to transportation and shipbuilding market modeling, analysis and forecasting. Fuzzy systems called fuzzy decision modelers (FDMs) are developed based on fuzzy logic techniques to model the crude oil tanker freight rate market, the tanker new order market and the tanker scrapping market. Our results show that the FDMs are able to model and forecast these economic systems very well. In addition, the FDMs also provide valuable insights into market mechanisms and market participants' decision-making patterns. The FDMs are mathematical model-free, nonlinear systems capable of capturing complicated relationships among economic variables. The FDMs are easy to develop and easy to interpret. These advantages of fuzzy systems suggest that fuzzy logic techniques are a promising alternative in shipping and shipbuilding market modeling, analysis and forecasting.

Concentrations in the Aviation Sector: How to maintain the level playing field for airlines and airports?

2021 ◽  
Vol 24 (3) ◽  
pp. 485-511
Author(s):  
Valentine Lemonnier
Keyword(s):  
Competition Law ◽  
Air Transport ◽  
Transport Sector ◽  
Level Playing Field ◽  
Playing Field ◽  
Market Participants ◽  
Free Competition ◽  
Eu Competition Law ◽  
Different Types ◽  
The Eu

Before the Covid-19 pandemic hit, the scheduled passenger air transport sector was already subject to several horizontal concentrations. The mix of free competition and strict regularization in the air transport sector in the EU raises the question whether the current framework will still be able to provide a level playing field to the market participants, notably airlines and airports. The study focusses on how EU competition law has influenced horizontal concentrations (i.e. mergers and horizontal co-operations) in the scheduled passenger air transport sector. The results of the discussion are the basis for a reflection of the effects of different types of horizontal concentrations on the negotiation power of airlines vis-à-vis airports. A third focus of the study is the identification of regulatory weaknesses with regard to airport financing under the Airport Charges Directive (Directive 2009/12/EC), how those weaknesses benefit airlines and how they might interfere with efforts made under the application of competition law.

Reputations, Relationships, and Contract Enforcement

2007 ◽  
Vol 45 (3) ◽  
pp. 595-628 ◽  
Author(s):  
W. Bentley MacLeod
Keyword(s):  
Contract Enforcement ◽  
Market Mechanisms ◽  
Efficient Level ◽  
Enforcement Mechanisms ◽  
Real Costs

When the quality of a good is at the discretion of the seller, how can buyers assure that the seller provides the mutually efficient level of quality? Contracts that provide a bonus to the seller if the quality is acceptable or impose a penalty on the seller if quality is unacceptable can, in theory, provide efficient incentives. But how are such contracts enforced? While the courts can be used, doing so involves high real costs. Informal enforcement, involving a loss of reputation and future access to the market for any party that defaults on a contract, may often be a better alternative. This paper explores the use of both formal and informal enforcement mechanisms, provides a rationale for a variety of observed market mechanisms, and then generates a number of testable hypotheses.

scholarly journals Advances in the management of craniopharyngioma in children and adults

2019 ◽  
Vol 53 (4) ◽  
pp. 388-396 ◽  
Author(s):  
Mojca Jensterle ◽  
Soncka Jazbinsek ◽  
Roman Bosnjak ◽  
Mara Popovic ◽  
Lorna Zadravec Zaletel ◽  
...  
Keyword(s):  
Survival Rates ◽  
Tumor Location ◽  
Subtotal Resection ◽  
Metabolic Complications ◽  
Optimal Outcomes ◽  
Parasellar Region ◽  
Long Term Follow Up ◽  
Considerable Controversy

Abstract Background Childhood and adult-onset craniopharyngioma is a rare embryogenic tumor of the sellar, suprasellar, and parasellar region. Survival rates are high; however, tumor location and treatment sequalae including endocrine deficits, visual impairment, metabolic complications, cognitive and psychosocial deficits can significantly impair patient’s quality of life. There is considerable controversy regarding the optimal management of craniopharyngiomas. Subtotal resection of the tumor followed by targeted irradiation to avoid further hypothalamic damage is currently indicated. Novel insights in the tumor’s molecular pathology present the possibility for targeted therapy possibly decreasing the rate and severity of treatment-associated morbidity. Conclusions Craniopharyngioma should be seen as a chronic disease. To achieve optimal outcomes a multidisciplinary team of specialized neurosurgeons, neuro-radiologists, neuro-oncologists, pathologists and endocrinologists should be involved in the diagnosis, planning of the surgery, irradiation and long-term follow-up.

scholarly journals Designing Informative Rating Systems: Evidence from an Online Labor Market

2020 ◽  
Author(s):  
Nikhil Garg ◽  
Ramesh Johari
Keyword(s):  
Labor Market ◽  
Rating Scales ◽  
Problem Definition ◽  
Rating System ◽  
Rating Systems ◽  
Market Participants ◽  
Model Based ◽  
Treatment Conditions ◽  
Online Labor

Problem definition: Platforms critically rely on rating systems to learn the quality of market participants. In practice, however, ratings are often highly inflated and therefore, not very informative. In this paper, we first investigate whether the platform can obtain less inflated, more informative ratings by altering the meaning and relative importance of the levels in the rating system. Second, we seek a principled approach for the platform to make these choices in the design of the rating system. Academic/practical relevance: Platforms critically rely on rating systems to learn the quality of market participants, and so, ensuring these ratings are informative is of first-order importance. Methodology: We analyze the results of a randomized, controlled trial on an online labor market in which an additional question was added to the feedback form. Between treatment conditions, we vary the question phrasing and answer choices; in particular, the treatment conditions include several positive-skewed verbal rating scales with descriptive phrases or adjectives providing specific interpretation for each rating level. We then develop a model-based framework to compare and select among rating system designs and apply this framework to the data obtained from the online labor market test. Results: Our test reveals that current inflationary norms can be countered by reanchoring the meaning of the levels of the rating system. In particular, positive-skewed verbal rating scales yield substantially deflated rating distributions that are much more informative about seller quality. Further, we demonstrate that our model-based framework for scale design and optimization can identify the most informative rating system and substantially improve the quality of information obtained over baseline designs. Managerial implications: Our study illustrates that practical, informative rating systems can be designed and demonstrates how to compare and design them in a principled manner.

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