Key Question/Issue: To what extent can competition policy achieve equity and justice? (1 Viewer)

[goan_crazy]

Key Question/Issue: To what extent can competition policy achieve equity and justice?
I just saw this?
What is the answer? Does anyone else know this
Its not part of the rest of the syllabus
Kinda like institutionalised inequality in law and justice, a key question and issue many ppl look over, what if they ask this?
Thanks

 

[manifestation]

Competition policy is an economic term referring to the body of laws of a state which govern the extent, and ability to which bodies can economically compete. They, hence attempt to restrict practices which remove competition from the market, such as monopoly and cartel.

- Most nations have their own competition laws and there is a general agrrement on what is and what is not acceptable behaviour. The degree to which countries enforce their competition policy does vary.
- Restrictive business practices are those practices that reduce the degree of contestability of a market, such as cartels or other forms os horizontal or vertical market restraints, abuse of dominant market position, monopolisation, price discrimination and the like.

Competition policy does achieve equity and justice as it allows businesess to have a fair chance to compete in the market. If there was dominant business where other people in the business sphere were not able to compete and make money then there would be no chance for anyone to make money because the market place would be already dominated by monopolies and cartels, therefore not giving people a fair chance and creating a bias and a position abusive market place.

 

[DeanoGrrrrl]

Manifestation, I was about to say the same thing, but now I don't have to! Jeez, you'll go really well. No really, thanx 4 your answer, coz you've helped more than goan_crazy out.

 

[manifestation]

Thanks and GOOD LUCK.

This link may also help:

http://www.accc.gov.au/content/index.phtml/itemId/259608/fromItemId/6106

 

[manifestation]

Here's some more info:

Well-designed competition law, effective law enforcement, and competition-friendly regulation support efficiency, growth and stability for the benefit of all.

Some anti-competitive conduct is prohibited outright (e.g. price fixing), while other types are prohibited only if they substantially lessen competition. A substantial lessening of competition is apparent when the ability of buyers to shop around for a deal that suits them is significantly diminished.

A cartel is generally considered to include conduct by two or more competitive businesses and includes:
· price fixing
· market sharing including bid rigging or customer sharing and/or
· production or sales quotas.
This type of conduct, between otherwise competitive firms, is often referred to as a hard-core cartel and is illegal.

 

[goan_crazy]

Thanks Hera

 

[Kirika]

maybe you should study this...

if you want more info on this bit go to the macmillan study guides, they go thru the key points bit by bit n show you how to answer it... its prolly a good idea, coz ive been through the papers and i reckon that thats the q we'll get this year ( last year was the one about suppliers etc). i could be worng, just thought id betta contribute.

 

[manifestation]

but this aspect of the course if too specific to be a question. There's not enough to discuss for a 25 marks question!! I think you can talk about comp. policy when talking about effectiveness of consumer law and equity and fairness etc.