The Economic Characteristics of Developing Jurisdictions
Show Less

The Economic Characteristics of Developing Jurisdictions

Their Implications for Competition Law

Edited by Michal S. Gal, Mor Bakhoum, Josef Drexl, Eleanor M. Fox and David J. Gerber

There is ongoing debate as to what competition law and policy is most suitable for developing jurisdictions. This book argues that the unique characteristics of developing jurisdictions matter when crafting and enforcing competition law and these should be placed at the heart of analysis when considering which competition laws are judicious. Through examining different factors that influence the adoption and implementation of competition laws in developing countries, this book illustrates the goals of such laws, the content of the legal rules, and the necessary institutional, political, ideological and legal conditions that must complement such rules. The book integrates development economics with competition law to provide an alternative vision of competition law, concluding that ‘one competition law and policy size’ does not fit ‘all socio-economic contexts'.
Buy Book in Print
Show Summary Details
You do not have access to this content

Chapter 9: Generating instead of protecting competition

Oliver Budzinski and Maryam H.A. Beigi


Recent decades have witnessed a trend of privatization, deregulation and liberalization – and not only in industrialized countries but also in many countries that used to be called developing and that have more actively pursued the path of market-economy-based industrialization. There is a dominant consensus among economists that market economies require an effective competition policy regime in order to protect competition against its self-eroding tendencies: next to being successful by a welfare-increasing competition on the merits, companies may experience incentives to secure rents by engaging in anti-competitive strategies and arrangements. Consequently, the number of (more or less) active competition policy regimes has significantly increased, in particular throughout the 2000s. While the predominantly beneficial character of this development is hardly in doubt, the question ‘what kind of competition policy is adequate for industrializing countries’ is much more controversial. On the one hand, transplanting institutions and agendas from successful competition policy regimes like the United States or the European Union represents a strategy that is both advocated and also what many industrializing countries have actually attempted to do. However, it implicitly assumes that there is a ‘one size fits all’ competition policy, i.e. one ‘right’ competition policy that is optimal irrespective of a country’s economic and social characteristics. In this chapter, we argue from an economics perspective that this is not the case.

You are not authenticated to view the full text of this chapter or article.

Elgaronline requires a subscription or purchase to access the full text of books or journals. Please login through your library system or with your personal username and password on the homepage.

Non-subscribers can freely search the site, view abstracts/ extracts and download selected front matter and introductory chapters for personal use.

Your library may not have purchased all subject areas. If you are authenticated and think you should have access to this title, please contact your librarian.

Further information

or login to access all content.