Competition and the State

Competition and the State

Competition and the State

Competition and the State


Competition and the State analyzes the role of the state across a number of dimensions as it relates to competition law and policy across a number of dimensions. This book re-conceptualizes the interaction between competition law and government activities in light of the profound transformation of the conception of state action in recent years by looking to the challenges of privatization, new public management, and public-private partnerships. It then asks whether there is a substantive legal framework that might be put in place to address competition issues as they relate to the role of the state. Various chapters also provide case studies of national experiences. The volume also examines one of the most highly controversial policy issues within the competition and regulatory sphere-the role of competition law and policy in the financial sector.

This book, the third in the Global Competition Law and Economics series, provides a number of viewpoints of what competition law and policy mean both in theory and practice in a development context.


Thomas K. Cheng, Ioannis Lianos, and D. Daniel Sokol

Governments intervene widely in markets to achieve various policy goals. Sometimes these policy goals align with one another and sometimes they conflict and require various trade-offs in policy responses, such as to pursue efficiency, to correct market failures, or to ensure equity and distributive justice.

In recent years, the interaction of competition law and policy with state (government) activity has attracted considerable interest from the global competition community, both among scholars and within policy circles. Developments around the world have created the need to reconsider the roles of competition and the state. This reconsideration forces competition law to interact, sometimes uneasily, with a broader and somewhat distinct competition policy. the broader competition policy (which includes not only competition law but also other measures to address issues of competition in the economy) interfaces with state activity across many different levels of how government organizes economic behavior.

Government organizes economic activity in part through the shape and nature of regulation and overall state involvement. Understanding the distinction between competition law and policy clarifies competition authorities’ capabilities and limitations when it comes to promoting competition in situations of a broader regulatory overlay. Competition law focuses on enforcement, whereas competition authorities also must address issues of nonenforcement such as advocacy and institutional design. When considering the question of . . .

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