Does More Intense Competition Lead to Higher Growth?

April 2000 - Empirical evidence indicates a strong correlation between long-run growth and effective enforcement of antitrust and competition policy. The relationship between the intensity of competition in an economy and its long-run growth is an open question in economics. Theoretically, there is...

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Bibliographic Details
Main Author: Dutz, A. Mark
Other Authors: Hayri, Aydin
Format: eBook
Language:English
Published: Washington, D.C The World Bank 1999
Subjects:
Online Access:
Collection: World Bank E-Library Archive - Collection details see MPG.ReNa
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245 0 0 |a Does More Intense Competition Lead to Higher Growth?  |h Elektronische Ressource  |c Dutz, A. Mark 
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300 |a 32 p. 
653 |a Macroeconomics and Economic Growth 
653 |a Consumer Protection 
653 |a Competitiveness 
653 |a Development 
653 |a Regulatory Framework 
653 |a Productivity 
653 |a Unfair Competition 
653 |a Telecommunications 
653 |a Social Protections and Labor 
653 |a Emerging Markets 
653 |a Competition 
653 |a Economic Growth 
653 |a Anti-Trust Laws 
653 |a Productivity Growth 
653 |a Monopoly 
653 |a Private Sector Development 
653 |a Economy 
653 |a Deregulation 
653 |a Trade 
653 |a Growth Models 
653 |a Economic Theory and Research 
653 |a Labor Policies 
653 |a Variables 
653 |a Positive Effects 
653 |a Influence 
653 |a Competition Policy 
700 1 |a Dutz, A. Mark 
700 1 |a Hayri, Aydin 
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520 |a April 2000 - Empirical evidence indicates a strong correlation between long-run growth and effective enforcement of antitrust and competition policy. The relationship between the intensity of competition in an economy and its long-run growth is an open question in economics. Theoretically, there is no clear-cut answer. Empirical evidence exists, however, that in some sectors more competition leads to more innovation and accelerates productivity growth. To complement those findings and capture economywide effects, Dutz and Hayri conduct a cross-country study. They examine the impact on growth of various measures having to do with intensity of domestic competition - beyond the effects of trade liberalization. Their results indicate a strong correlation between long-run growth and effective enforcement of antitrust and competition policy. An earlier version of this paper - a product of Public Economics, Development Research Group - was presented at a conference, Industrial Reorganization and Development, in Toulouse, France (November 1998). The study was funded by the Bank's Research Support Budget under the research project Does More Intense Competition Lead to Higher Growth? (RPO 682-47). The authors may be contacted at mdutz@worldbank.org or ahayri@dttus.com