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Product Market Regulation in Romania: A Comparison with OECD Countries

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  • Fay, Marianne

    (Europe and Central Asia Region, The World Bank.)

  • De Rosa, Donato

    (Europe and Central Asia Region, The World Bank.)

  • Pauna, Catalin

    (Europe and Central Asia Region, The World Bank.)

Abstract

Less restrictive product market policies are crucial in promoting convergence to higher levels of GDP per capita. This paper benchmarks product market policies in Romania to those of the OECD countries by estimating OECD indicators of Product Market Regulation (PMR). The PMR indicators allow a comprehensive mapping of policies affecting competition in product markets. Comparison with OECD countries reveals that Romania’s product market policies are less restrictive of competition than most direct comparators from the region and not far from the OECD average. Nonetheless, this achievement should be interpreted in light of the fact that PMR approach measures officially adopted policies. It does not capture implementation and enforcement, the area where future reform efforts should be directed if less restrictive policies are to have an effective impact on long-term growth prospects. Part I : a comparative analysis of Romania’s PRM and Inward-oriented Policies.

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Bibliographic Info

Article provided by Institute for Economic Forecasting in its journal Romanian Journal for Economic Forecasting.

Volume (Year): 5 (2008)
Issue (Month): 2 (June)
Pages: 5-34

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Handle: RePEc:rjr:romjef:v:5:y:2008:i:2:p:5-34

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Keywords: regulation; product markets; administrative reforms; inward looking policies; outward looking policies;

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  1. Nicoletti, Giuseppe & Scarpetta, Stefano, 2003. "Regulation, productivity, and growth : OECD evidence," Policy Research Working Paper Series 2944, The World Bank.
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