Reconciling Efficiency and Equity: A Global Challenge for Competition Policy

The debate between equity and efficiency in competition law has been a defining feature of the transformation of the dominant paradigm since the 1970s. This book aims to explore new approaches to understanding the role of efficiency and equity concerns in competition law.

Format: Paperback / softback
Length: 474 pages
Publication date: 19 May 2022
Publisher: Cambridge University Press

The increasing influence of economics and economists in competition law and policy discourse, coupled with the globalization of antitrust, has sparked a pivotal debate over the trade-off between equity and efficiency. This debate has played a defining role in shaping the dominant paradigm governing competition law enforcement since at least the 1970s. Today, the debate remains crucial as issues of economic inequality and their interplay with efficiency gain paramount importance in policy and decision-making within competition law and other areas of public policy.

Despite the central role that equity and efficiency play in the global landscape of competition law, their intellectual underpinnings have received limited scrutiny. This book aims to bridge this gap by exploring innovative approaches to understanding the role of efficiency and equity concerns in competition law.

In the realm of competition law, the pursuit of efficiency often clashes with the goal of promoting fairness and equity. While efficiency aims to maximize economic output and promote consumer welfare, it may inadvertently exacerbate existing inequalities and create new ones. On the other hand, prioritizing equity can lead to the stifling of innovation and economic growth.

To navigate this complex trade-off, competition law scholars and policymakers have developed a range of approaches. One approach emphasizes the importance of procedural fairness and the protection of individual rights. This approach seeks to ensure that competition law enforcement procedures are transparent, impartial, and accessible to all participants, regardless of their size or economic power.

Another approach focuses on the development of specific rules and policies that promote equity and inclusion. For example, competition law can be used to promote diversity and inclusion in the marketplace, by encouraging the entry of new competitors and promoting fair competition among existing ones.

Yet another approach emphasizes the role of competition law in promoting economic growth and innovation. By fostering a competitive environment, competition law can encourage businesses to invest in research and development, leading to the creation of new products and services that benefit consumers and the economy as a whole.

In conclusion, the debate over equity versus efficiency in competition law is a critical one that continues to shape the global landscape of competition policy. While the pursuit of efficiency is essential for promoting economic growth and consumer welfare, it is equally important to prioritize equity and inclusion. By exploring innovative approaches to understanding the role of efficiency and equity concerns in competition law, we can strive to create a more fair and just competition environment that benefits all stakeholders.

Weight: 692g
Dimension: 153 x 228 x 30 (mm)
ISBN-13: 9781108702881