This guide has been compiled to support students in their course work for ECON222.
This guide is maintained by Melody Chin.
Since the 1980s, many countries have turned to the private sector to provide services formerly offered by the state. With freer markets, an adjacent development has been the introduction of elaborate systems of regulation as well as the enactment of competition law regimes. This course focuses on market power as the reason for economic regulation and competition policy. The first half of the course will examine the following issues: the rationale for public enterprises; strategies for privatization and options for regulation including Public Private Partnership arrangements; as well as evaluation of effects of privatization and regulation. Particular attention will be paid to the electric power, telecommunications and transport sectors. Relevant cases from different countries will be used to highlight issues and provide a more complete understanding of the options and problems involved. The second half of the course aims at giving students an introduction to the basic issues of competition policy: market power and market definition, cartels and tacit collusion, mergers and vertical restraints, and abusive practices.