Market power, competition policy and developing economies

A. Vindelyn Smith‐Hillman

Journal of Economic Studies, 2007, vol. 34, issue 2, 120-135

Abstract: Purpose - This paper aims to measure the influence of institutional capacity and population differences between Sub‐Saharan African and Caribbean economies, on the efficacy of competition policy. Design/methodology/approach - The paper uses multiple regression analysis to evaluate the significance of demographics, as captured through population size, and institutional capacity on the performance of the national competition authority. Findings - The model identifies institutional capacity as a statistically significant factor enabling robust enforcement of competition policy. Wide disparities in the provision of competition expertise between Western economies and developing countries effectively frustrate attempts in this respect. Research limitations/implications - There is the considerable shortage of economic data, both broadly, as it relates to time series, and narrowly, within the remit of competition policy developments, within Sub‐Saharan African economies. Originality/value - Both African and Caribbean economies represent significantly under‐researched areas, particularly in the sphere of competition policy. This paper represents a small contribution towards filling that void through application to specific country experience as against discussion in the abstract.

Keywords: Market system; Profit; Competitive strategy; Caribbean; Sub Saharan Africa (search for similar items in EconPapers)
Date: 2007
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Persistent link: https://EconPapers.repec.org/RePEc:eme:jespps:v:34:y:2007:i:2:p:120-135

DOI: 10.1108/01443580710745399

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