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Analyzing Economic Market Interactions as Conflicts: New Concepts to Assess Market-Based Policy Instruments


  • Mason, Simon A.

    () (Center for Security Studies (CSS), Swiss Federal Institutes of Technology, ETH Zentrum)

  • Muller, Adrian

    () (Department of Economics, School of Business, Economics and Law, Göteborg University)


Complementing market-based policy instruments with conflict analysis approaches provides a wider understanding of market situations and allows to identify minimal requirements regarding needs, power and conflict dynamics. If these are not met, a market cannot be successfully introduced or a liberalization process implemented. Conflict analysis offers a language better suited to the concerns of people negatively affected by new markets. Applying this language helps to counterbalance the predominance of economic concepts. This fosters mutual understanding and enhances the prospect for successful implementation of market-based policies. We illustrate the potential of conflict analysis with examples from water privatization and labeling.

Suggested Citation

  • Mason, Simon A. & Muller, Adrian, 2006. "Analyzing Economic Market Interactions as Conflicts: New Concepts to Assess Market-Based Policy Instruments," Working Papers in Economics 212, University of Gothenburg, Department of Economics.
  • Handle: RePEc:hhs:gunwpe:0212

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    References listed on IDEAS

    1. Rothschild, Kurt W., 2002. "The absence of power in contemporary economic theory," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 31(5), pages 433-442.
    2. Perry, C. J. & Rock, M. & Seckler, D., 1997. "Water as an economic good: a solution, or a problem ?," IWMI Research Reports H021492, International Water Management Institute.
    3. Andrei Shleifer, 2004. "Does Competition Destroy Ethical Behavior?," American Economic Review, American Economic Association, vol. 94(2), pages 414-418, May.
    4. Kanbur, Ravi, 2001. "Obnoxious Markets," Working Papers 127655, Cornell University, Department of Applied Economics and Management.
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    More about this item


    market interactions; liberalization; privatization; labeling; conflict analysis; needs;

    JEL classification:

    • D02 - Microeconomics - - General - - - Institutions: Design, Formation, Operations, and Impact
    • D74 - Microeconomics - - Analysis of Collective Decision-Making - - - Conflict; Conflict Resolution; Alliances; Revolutions
    • H00 - Public Economics - - General - - - General
    • L13 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Oligopoly and Other Imperfect Markets
    • 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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