Transcript

00:00 |

Initial credits
00:30 |

Introduction
01:44 |

Competition policy
- American competition policy during the 1970´s
  - The effect of global competition
  - The role of competition authorities
- Elements of effective competition policy
  - Enhacement of competition and consumer welfare
  - Encouragement of competition
  - Recognition of competition benefits by the government
04:54 |

Organization of the Federal Trade Commission (FTC)
- Foundation of the FTC
- Idea of the progressive movement
- FTC makeup: commisioners
- Functional lines
  - Primary consumer protection agency
  - Competition of function
  - Bureau of Economics
  - Bureaucracy of the FTC
- The role of the FTC
  - The focus of competition policy in the past
  - New unified goal: enhacement of consumer welfare and choice
09:30 |

Competition: a process of creative destruction
- The idea of competition for producers
- Competion policy: an organizing principle and a form of regulation
- Fronts that a competition policy must target
  - Private efforts to undermine competition
  - Private efforts to suppress competition
  - The role of the government to reduce competition: private cartels
  - The inefficiency of antitrust enforcement
12:41 |

Development of the concern about public restraints on competition
- Economic theory of regulation (ETR)
- Limitation of the size of effective interest groups: information and organization cost
  - The reduction of per capita benefits
  - The lack of incentives to learn about the new legislation in students and general public
- Organization to translate the demand: political pressure
  - Consequences of ineffective political pressure
    - Small groups with similar interests
    - A regulation that harms consumers
  - The effect of a protective tariff
    - Sugar policy
    - Unauthorized practice of law rules
    - The problem of internet and e-commerce
21:59 |

Functions needed to control competition problems
22:16 |

Competition advocacy
- The dynamics of competition advocacy
- The logic of competition advocacy: correction of market failures
- Education to policy makers and the public
- Areas where the tools of competition advocacy have been used
  - Macroeconomic policies in 1964: effects of burdens on federal transportation on economic growth
    - Coverage of the competition policy by the popular press
    - Effects of the speech
      - Deregulation of transportation
      - Improvement of consumer welfare
  - Effects of licenses on professions
    - Restriction of professionals
    - Effects on consumers: higher prices
    - Regulation of electricians
    - The realization of electrical jobs by the common people
28:36 |

The relationship of a competition authority to other sectoral regulators
- Ignorance of the general principles of competion
- Proneness to be captured by the regulated industry
30:16 |

Questions
- What are the effects of competition policy in international competion and consumers? Do you think American policy will work in Guatemala,n where there has never been a competiton policy?
- What shape should the institution to protect competition have in Guatemala? Do you have any suggestion for this government to develop a propern criteria?
- What should be the first step taken to eliminate barriers to competition in Guatemala?
- Should we try to give more incentives to the public to be more knowledgeable about economic policy?
46:15 |

Final credits

Regulating Domestic Markets

New Media | 08 de marzo de 2005 | Vistas: 2321

During the 1960s and 1970s, United States competition policies were managed to protect producers instead of consumers, causing negative effects in the economy. Todd Zywicki talks about these events and shares his views on domestic markets regulation. He gives a brief explanation of the organization of the Federal Trade Commission (FTC), its history, functional lines, and current role. He also analyzes competition among producers as well as the inefficiency of antitrust enforcement; he explains the economic theory of regulation and the notion that it is produced to maximize social welfare. Zywicki comments on the small number of effective interest groups due to the lack of incentives to learn the new legislation, and finally, he emphasizes the competition advocacy and the promotion of pro-competitive laws.