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Promoting Competition to Strengthen Economic Growth in Belgium

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  • Tomasz Koźluk

    (OECD)

Abstract

Prices for many goods and services in Belgium are higher than in other countries, reflecting generally weak competitive pressures. The government has recently introduced several reforms to strengthen the competition policy framework. Nevertheless, to reap the full benefits of competitive markets, past reforms should be complemented with a number of further measures. The powers of the Competition Authority can still be enhanced. Its effective degree of independence, substantially improved in the recent reform, and its accountability should be monitored in order to assess whether further measures in this direction are needed. In the retail sector competition-restricting regulations still protect existing companies against new entry and inhibit the diffusion of new business models and technologies. The reform efforts in the network sectors remain patchy. In the energy and telecommunication sectors the main issues are the dominant positions of the incumbents and the failure of network sector regulators to introduce a level playing field in order to allow new entry and expansion of competitors. In other sectors, such as postal services and rail transport, major steps towards liberalisation are still to come. Overall, sectoral regulators will need more independence and powers in order to tackle uncompetitive behaviour of the incumbents, while better communication between the regulatory authorities is necessary. These steps should help to secure the necessary basis for bringing productivity growth in line with best performance. Promouvoir la concurrence afin d'affermir la croissance économique en Belgique Les prix d’un grand nombre de biens et de services en Belgique sont plus élevés que dans d’autres pays, signe de la faiblesse générale des pressions exercées par la concurrence. Le gouvernement a récemment introduit plusieurs réformes destinées à renforcer le cadre de la politique de concurrence. Néanmoins, pour tirer tout le profit de marchés concurrentiels, les réformes mises en oeuvre devraient être complétées par un certain nombre de mesures additionnelles. Les pouvoirs de l’Autorité de concurrence peuvent être encore renforcés. Son degré effectif d’indépendance (sensiblement rehaussé par la récente réforme) et son obligation de rendre compte devraient faire l’objet d’un suivi de manière à évaluer si de nouvelles mesures s’imposent à cet égard. Dans le commerce de détail, les réglementations restreignant la concurrence protègent toujours les entreprises en place contre l’arrivée de nouveaux concurrents et freinent la diffusion de nouveaux modèles économiques et de nouvelles technologies. Les efforts de réforme dans les industries de réseau demeurent parcellaires. Dans les secteurs de l’énergie et des télécommunications, les problèmes tiennent surtout aux positions dominantes des opérateurs historiques et à l’incapacité des autorités de régulation des industries de réseau à instaurer des conditions égales pour tous de manière à permettre l’arrivée de nouveaux concurrents et le développement de la concurrence. Dans d’autres secteurs, comme les services postaux et le transport ferroviaire, d’importantes mesures de libération sont toujours en attente. Globalement, les régulateurs sectoriels ont besoin de plus d’indépendance et de plus de pouvoirs pour contrer le comportement anticoncurrentiel des opérateurs historiques, et il est nécessaire d’améliorer la communication entre les autorités de régulation. Ces mesures devraient contribuer à assurer la base nécessaire pour porter la croissance de la productivité au meilleur niveau.

Suggested Citation

  • Tomasz Koźluk, 2009. "Promoting Competition to Strengthen Economic Growth in Belgium," OECD Economics Department Working Papers 736, OECD Publishing.
  • Handle: RePEc:oec:ecoaaa:736-en
    DOI: 10.1787/220077807505
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    More about this item

    Keywords

    Belgique; Belgium; commerce de détail; competition; competition policy; concurrence; croissance économique; economic growth; industrie de réseau; network industries; politique de la concurrence; retail distribution; régulateurs sectoriels; sectoral regulators;
    All these keywords.

    JEL classification:

    • K23 - Law and Economics - - Regulation and Business Law - - - Regulated Industries and Administrative Law
    • L41 - Industrial Organization - - Antitrust Issues and Policies - - - Monopolization; Horizontal Anticompetitive Practices
    • L43 - Industrial Organization - - Antitrust Issues and Policies - - - Legal Monopolies and Regulation or Deregulation
    • L50 - Industrial Organization - - Regulation and Industrial Policy - - - General

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