Competition Policy Research Articles

Is There Room for Food Sovereignty Considerations in EU Competition Policy? A Theoretical Framework

So far, the notion of food sovereignty has not claimed a place at the table of competition law. Although competition law developments in the last four decades have promoted the exclusive dominance of efficiency considerations, the next few years may bring a turning point through the recognition that in the long term economic efficiency also requires social and environmental sustainability, especially in a sector like agriculture. Although family farming has always been dominant in Europe, recent trends of concentration and consolidation in the agricultural and food supply chain as well as globalisation itself have shaken European agricultural producers who face several competition-related problems. This article aims to shed light on whether the theoretical framework of EU competition law and policy are appropriate for the notion of food sovereignty to join the discourse. In order to do so, the article presents the main tenets of ordoliberalism, the prevailing school of thought in EU competition policy, in particular the findings of those ordoliberal scholars who deal with the issues of agriculture. Moreover, the article aims to theorise sovereignty in food sovereignty, in parallel with bringing it into line with ordoliberalism, in order to explore whether the concept of social market economy, one of the key concepts of ordoliberalism explicitly followed by the EU, and in particular ordoliberal competition policy to be realised within the framework of the social market economy, is suitable to take into account food sovereignty’s core elements at least at a theoretical level. If it is, it may bring to the fore a viewpoint of EU competition policy which ensures appropriate protection for the agricultural sector to overcome the newly emerging anomalies faced by European agricultural producers as a consequence of globalising markets. Keywords: food sovereignty, competition law, competition policy, ordoliberalism, agriculture, United States of America, European Union. DOI: https://doi.org/10.3935/cyelp.18.2022.468 This work is licensed under the Creative Commons Attribution − Non-Commercial − No Derivatives 4.0 International License. Suggested citation: MM Csirszki, ‘Is There Room for Food Sovereignty Considerations in EU Competition Policy? A Theoretical Framework’ (2022) 18 CYELP 83.

Комплексное влияние сетевых эффектов, критической массы и стандартизации на конкуренцию на рынке операционных систем

The competition policy mechanisms in specific sectors of the economy work out, provided that balanced protection tools are used, and incentives are maintained to launch a new product or technology onto the market. However, strong network effects lead to the presence of a small number of manufacturers or even a single player, which hinders the spread of alternative products and contributes to a single product network formation. The relevance of this research is driven by the need to competition analysis in the software market affected by the network effects. The purpose of this review article is to justify the need for a compound impact analysis of network effects, critical mass and standardization as an assessment optimization tool of the competition state in the two- sided software market, specifically in the operating systems markets. The object of the research is an operating system itself, and the subject is the influence of network effects, critical mass and standardization on competitive processes in the operating systems market. The following issues were performed: the results systematization of theoretical studies and approaches to econometric modeling of network externalities, the strategies identification for analysis of standards and installed base of users and sales, introduction of the operating system and software concepts, the development of recommendations for analysis of the phenomenon of network effects with an emphasis on the standardization process in the furtherance of competition and industrial policy. Analysis of the examined phenomena impact shows that the introduction of a generally accepted network effects definition at the legislative level, distinction between the direct and indirect network effects, consideration of this phenomenon as a barrier to entry into the market, and concord of the network effects and standard setting theory can decrease the possibility of type I and II errors in the law enforcement practice.

Analysis of the Digital Trade Agreements among Several APEC Member Countries

We analyze a variety of digital trade agreements with a view to exploring a useful guidance to clarify and improve the agreements. After examining the key features of the agreements, we compare them in two aspects, market access and policy cooperation. While the market access issues include the cross-border transfer of information by electronic means, the location of computing facilities, no imposition of customs duties on electronic transmissions and the express shipments, the policy cooperation issues do cooperation on standard and conformity assessment for digital trade, FinTech cooperation, and competition policy cooperation. Next, after evaluating the digital trade agreements, we find the need for reasonable definitions of critical terms such as digital trade and digital service. Also we suggest how to clarify and improve the scope of digital product and their relationship with the relevant WTO agreements, primarily GATS. Finally, we conclude with future issues such as the role of APEC, the interconnection between digital trade and trade in services, Korea’s strategies for future digital trade agreements, and the multilateral negotiations on digital trade at several international organizations such as WTO and OECD.

Оценка эффективности деятельности российских антимонопольных органов: технологии, эмпирический анализ

This work has been prepared in order to fill a gap in the theory of public administration based on the results associated with the lack of research on the practical applicability of theoretical concepts for assessing the effectiveness and efficiency of a government body to the activities of the Federal Antimonopoly Service of Russia. To achieve this goal, the following tasks were set: to determine the results and effects for the economy from the activities of the antimonopoly authorities, to be assessed from the standpoint of achieving the goals and objectives of the state competition policy; to study the technologies for evaluating the effectiveness and efficiency that exist in international practice in terms of their applicability to the activities of Russian antimonopoly authorities; assess the objectivity of the technology used by the FAS Russia for assessing the effectiveness of the agency’s activities; formulate proposals on the formation of an evaluation system applicable in the practical activities of the antimonopoly authorities as a component of public management based on results. The article pays special attention to the concept of type I and II errors, approbation of this theoretical approach to assessing the effectiveness of the antimonopoly authority on the example of the decisions of the departmental appeal of the Federal Antimonopoly Service of Russia, carried out by the department in relation to its territorial bodies.

To What Extent Does China Follow the Competition Policy Sets by the More Developed Nation?

To What Extent Does China Follow the Competition Policy Sets by the More Developed Nation?

Environmental governance, local government competition and industrial green transformation: Evidence from China's sustainable development practice

AbstractThe rapid development of China's economy has also led to serious environmental problems, which have seriously restricted China's sustainable development. To this end, the Chinese government has continued to explore environmental governance. So, can environmental governance policies promote industrial green transformation, so as to achieve the goal of sustainable development? Will environmental policy competition among local governments have an impact on them? These issues are the focus of this article. Based on the provincial panel data of China from 2006 to 2021, this article empirically analyzes the relationship between environmental governance, local government competition, and industrial green transformation. The results found that there was a “U” type nonlinear relationship between environmental governance and industrial green transformation. On the whole, most regions of China are still in the development stage where environmental governance is not conducive to industrial green transformation. There is competition for environmental governance policies among local governments in China, and the characteristics of “race to the bottom” are more significant. In the East developed areas, there is a more significant “yardstick competition” game state. In the Midwest undeveloped areas, it is manifested as competition for resources by deregulation of the environment, thereby promoting short‐term economic growth. In addition, local protection behaviors negatively regulate the impact of environmental governance on industrial green transformation, that is, inhibiting local industrial green transformation by causing labor market mismatch. This study can provide valuable insights for policymakers aiming to adopt measures to achieve the sustainable development of the economy and environment.

MANAGER'S WORK WITH PERSONNEL AS THE BASIS OF CONFLICT PREVENTION IN АN ORGANIZATION

The article is devoted to the problems of the manager's activities with personnel as the basis of conflict prevention in the organization (on the example of LLC SPA "Perlyna Podillya"). Goal. The study of modern trends in the manager's work with personnel as a basis for the prevention of conflicts in the organization, as well as the development of recommendations and substantiation of directions to improve personnel work. The results. It is stated that the current stage of social and economic development is characterized by the maximum commercialization of social relations, formed under the influence of the market economy and fierce competition, reinforced by periodically occurring crisis phenomena, which exacerbates conflicts and creates conflict situations. The authors emphasize that personnel policy in the organization as a tool for managing it and conflicts makes it possible to create a competitive policy if there is high-quality personnel potential. The article states that today the LLC pays considerable attention to the study and diagnosis of conflicts. Personnel policy is always aimed at work with the personnel in conflict situations. The analysis of personnel work and personnel policy was carried out in the context of prevention and resolution of conflict situations in the conditions of the latest challenges. The article emphasizes the global experience of conflict resolution. It confidently shows that based on the achievements of joint decisions and coordination of interests, any conflict situations and problems of organizational life at the LLC can be resolved. The recommendations for improving the personnel policy of the LLC, aimed at conflict prevention, have been developed. And it, in turn, should minimize the possibility of conflict situations at the enterprise. Keywords: personnel work, personnel policy, personnel management, conflict, conflict situation, conflict prevention.

Competition Policy in a Simple General Equilibrium Model

Most industrial organization research, including applications to competition policy, undertakes partial equilibrium analysis in a single sector, often with a fixed number of firms. For welfare analysis, this approach is valid only if the rest of the economy is perfectly competitive, an assumption far from reality. This article examines competition policy in a simple, multisector, general equilibrium model with free entry and exit, allowing for differing distortions in each sector. Flows between sectors readily reverse standard prescriptions. But such results may be partially offset or overturned yet again when incorporating free entry and exit. Analysis of efficiencies also changes qualitatively.

What does the Digital Markets Act harmonize? – exploring interactions between the DMA and national competition laws

ABSTRACT This article focuses on the interactions between the Digital Markets Act (DMA) and the laws and competition frameworks of Member States. Specifically, the article sets out three different interpretations on the text of articles 1 (5) and (6) of the DMA, which govern interactions between the DMA and national law and competition policy. The article identifies a narrow, broader, and broadest interpretation of the legal interests protected under the DMA. Each interpretation creates different harmonization effects. The article argues that the narrow and broader interpretations allow for significant divergence between national rules, creating the risk of regulatory fragmentation. The broadest interpretation would allow competition authorities and courts to weigh the interests protected in the DMA against national interests and create greater convergence of laws and competition policy in the Digital Single Market. The article also proposes ways forward for the implementation and enforcement of the DMA and national competition laws.

The effect of competition policy on FDI location decision: an empirical investigation using data on inward FDI in 38 countries

The effect of competition policy on FDI location decision: an empirical investigation using data on inward FDI in 38 countries

“Green” innovation, privacy regulation and environmental policy

We present a Hotelling duopoly and study the relationship between privacy regulation and environmental policy in an industry in which firms invest in “green” innovation (E-R&D) to reduce emissions in production. This research concludes that governments need to set emission taxes consistent with privacy regulations. With strong privacy protections, emission taxes should be higher than the case with no privacy protections. In the asymmetric case with poor privacy regulation, the optimal emission tax is highest to achieve emissions reductions. In addition, an economic trade-off can arise from the industry profits and E-R&D investment. With weak privacy regulation, the effort of E-R&D is highest, and corporatedo the least harm to the environment, while the industrial profits are lowest due to the massive tax burden. Finally, we suggest that policymakers should (i) combine reasonable emission tax policies and green finance for renewable energy projects, (ii) conduct weak privacy regulations on green finance and renewable energy projects, and (iii) encourage uniform pricing for renewable energy products from a competition policy perspective.

Influence of air quality ranking on China's energy efficiency: spatial difference-in-differences model with multiple time periods.

Exploring the impact of air quality ranking on energy efficiency and its spatial spillovers will help improve the pollution and carbon reduction effects of environmental governance policies. Based on the panel data of 285 cities at or above prefecture level in China during 2009-2019, this study pioneers in adopting difference-in-differences (DID) model with multiple time periods, spatial DID (SDID) model with multiple time periods, and mediating effect to explore the direct influence of ranking on China's energy efficiency, as well as its spatial effect and influence mechanism. Results show that air quality ranking is of significant positive impact on energy efficiency, proved by parallel trend hypothesis, placebo control, and policy heterogeneity. With spatial effect considered, such impact still exists, and ranking of the experimental group has significant positive spatial spillover effect on efficiency of the control group, meaning the ranking also promotes the efficiency of nearby cities in control groups via spatial spillover effect. In addition, air quality ranking greatly elevates energy efficiency via industrial structure and technological innovation, the mechanism of which is of significant positive spatial spillover effect. Based on the above results, some policy recommendations on environmental competition policy, industrial structure adjustment, and low-carbon applicable technology promotion were proposed to promote the energy efficiency of China.

Burnout in hostels: How it shapes workers’ perceptions of human resources practices

There are scarce results on burnout in such organizations as hostels and how it influences workers’ perceptions of their companies. Therefore, this study aims to analyze burnout of hostel workers and assess how it influences their perceptions of the type of leadership, the kind of support, the existence of feedback sessions, the organizational climate, and the quality of T&D programs. Data were collected from 96 employees of Portuguese hostels; existing validated measures were adapted from relevant literature. A pilot test was conducted to ensure the accuracy of the measures according to the target population. A PLS analysis of survey data provided the following results. Burnout plays a negative role in employees’ overall acknowledgment of the organization and their sense of satisfaction and loyalty toward it. Specifically, the most substantial negative effects of burnout were on feedback quality, manager support, and organizational climate (β = –0.557; –0.549; –0.542, p < 0.001, respectively). Furthermore, the indirect and negative effect of burnout on employee loyalty and employee satisfaction was also verified (β = –0.415; –0.418, p < 0.001, respectively). Therefore, managers can elaborate well-designed and applied practices based on these factors. Finally, this paper also discusses future research recommendations. AcknowledgmentThis study was financially supported by the research unit on Governance, Competitiveness and Public Policy (UIDB/04058/2020) + (UIDP/04058/2020), funded by national funds through FCT – Fundação para a Ciência e a Tecnologia.

How European Markets Became Free: A Study of Institutional Drift

Abstract Over the past 20 years, Europe has deregulated many industries, protected consumer welfare, and created strongly independent regulators. These policies represent a stark departure from historical traditions in continental Europe. How and why did this turnaround happen? We build a political economy model of market regulation and we compare the design of national and supra-national regulators. We show that countries in a single market willingly promote a supranational regulator that enforces free markets beyond the preferences of any individual country. We test and confirm the predictions of the model. European institutions are indeed more independent and enforce competition more strongly than any individual country ever did. Countries with ex-ante weaker institutions benefit more from the delegation of competition policy to the EU level.

Research Diversity and Invention.

This paper explains that when there is great uncertainty about which elements of knowledge must be combined to make an invention, the likelihood of invention increases markedly-by many orders of magnitude-when there are numerous diverse research organizations, rather than just a few. The paper examines the possibility that competition (antitrust) policy toward mergers would be improved if enforcement efforts placed more emphasis on protecting the diversity that is provided by numerous research rivals in a market.

Big Tech and Strategic Management: How Management Scholars Can Inform Competition Policy

Big Tech and Strategic Management: How Management Scholars Can Inform Competition Policy

The difficult road to a better competition policy: How do competition authorities reforms affect antitrust effectiveness?

AbstractThis paper estimates the impact of reforming competition authorities on perceived antitrust effectiveness using methods of causal inference. We study how 20 countries reformed their competition authorities in depth between 1995 and 2020, and what has been the outcome of such reforms in the perceived competition policy effectiveness by the business community compared with 18 control countries in a balanced panel. As the political economy literature warned, we find that reforms paradoxically have not always improved antitrust effectiveness. Some of the reforms approved stalled or backlashed as politicians opted for a Machiavelli option: undertaking “counter‐reforms” even in the name of an apparent but deceptive progressiveness and pro‐competition drive.

The Impact of Competition Policy Provisions in Regional Trade Agreements on Intermediate Product Trade

The deepening of the content of regional trade agreements has promoted the deep integration of global value chains. As an important part of the behind-the-border measures of regional trade agreements, competition policy provisions have an important impact on intermediate product trade. This paper constructs the depth index of competition policy provisions, uses the trade gravity model combined with Poisson's pseudo maximum likelihood estimation (PPML) and fixed effects to empirically analyze the impact of competition policy depth on the scale of intermediate product trade, and finally proposes policy recommendations for China to improve the construction level of regional trade agreements according to the conclusions.

Competition law enforcement in Ukraine: challenges from on-line giants

Competition law, economics and policy are facing a regulatory metamorphosis due to the rise of the digital economy. US, China and EU jurisdictions have announced and partially introduced systemic changes to their competition law frameworks to keep pace with technological developments. The Antimonopoly Committee of Ukraine is following the principle of ‘three monkeys’, it sees no on-line platforms, hears no on-line platforms, speaks of no on-line platforms, so nothing has been undertaken or even announced. The paper is twofold. Firstly, it analyses the economic background and features of the digital economy and shows why the available instruments of competition enforcement are ineffective. The second part of the paper shows why the current Ukrainian competition law framework is (in)capable of dealing with challenges posed by on-line giants. Regarding the need for a recalibration of regulatory approaches in digital markets, Ukraine faces the dilemma of a proper combination of ex ante and ex post measures.

Identifying the Roles of Research Entities in Technological Knowledge Flow Among Patents Assignees by Using Patent Citations

Despite much research on the interdisciplinarity of the publications across subject categories, few studies analyze the interdisciplinarity of the technological knowledge flow among research entities (i.e., patent assignees, inventors, and countries). In this article, we propose a framework to identify the roles of the research entities by measuring the interdisciplinarity of the technological knowledge flow. Research entities are positioned on the two-dimensional maps based on the integration index, diffusion index, and specialization index, which are used to measure the degree of the interdisciplinarity of different research entities in knowledge flow. In order to explore the role of the research entities in knowledge flow, we put forward four kinds of research entities: diverse knowledge provider, active mediator of diverse knowledge flow, diverse knowledge consumer, and negative mediator of diverse knowledge flow. The case study related to synthetic biology indicates that this method is valid and could explore effectively, the roles of the research entities to further guide the creation of new inventions by converging prominent technologies beyond technology field boundaries in facilitating active technology flow and support technological competitive evaluation and policy decision-making.