Introduction to the Current Problem

Cartel-law intervention is intended to prevent restraints of competition, not to cause them. Therefore, for all regulations governing freedom of action in business, the universally acknowledged principle applies that they must be reviewed with a view to de-regulation at regular intervals. There is an acute need for review particularly when—as in the case of coordinated price management between manufacturing and retailing—the enforcement by the authorities of restrictive legal provisions may be tightened up further. However, groups of experts at national and international levels, at the same time, disagree increasingly as to whether such legal restrictions can be justified in terms of the underlying principle. There is a risk that any further restriction of freedom to contract will tend to stifle innovation and competitive diversity rather than sustainably improve consumer welfare.