Thursday, October 24, 2013

Monopolization in Developing Countries

Alberto Heimler, Government of the Italian Republic (Italy) - National School of Administration and Kirtikumar Mehta, University of Fribourg discuss Monopolization in Developing Countries.

ABSTRACT: In developing countries, legal provisions that prohibit abusive behavior often have a wider application than in the EU or in the US. China ‘s law is also concerned with abuse of administrative power, Russia’s law overstresses unequal contracts conditions, India’s law takes over the idea of “unfair” pricing and often considers leveraging an abuse. These wider in scope provisions are meant to discipline dominant firms that are strong and connected. However also an independent enforcer is necessary. Independence may be strengthened by introducing binding presumptions for opening a proceeding. The chapter ends with enforcement examples from China, India , Russia, South Africa and a number of other developing countries from Africa and Latin America.

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