#14 Market Power: Competition, Consumer Welfare, and Society with Allan Fels
Description
Have you ever wondered how market competition affects societies? Join us as we explore this provocative idea with Professor Allan Fels, a towering figure in the sphere of competition law and regulation in Australia. As the inaugural chair of the Australian Competition and Consumer Commission, Allan has spent decades challenging powerful institutions to create a fairer market landscape. Together, we unravel his motivations and the broader impacts of competition—beyond mere price reduction, touching on innovation and dismantling political concerns tied to monopolies. Allan also provides a unique perspective on government-imposed restrictions and the unforeseen consequences these can have on market concentration.
We traverse the evolution of corporate concentration in Australia since the 1970s, revealing how macroeconomic factors like monetary and fiscal policy have played pivotal roles in shaping inflation and competition. Alongside Allan, we scrutinise common narratives from corporate leaders attributing rising prices to wage and input costs, and instead highlight the often-overlooked role of reduced competition. The discussion leads us into potential solutions for countering corporate power, particularly the importance of welcoming new market entrants in sectors such as retail groceries, airlines, and banking. Through compelling examples, we illuminate how increased competition can bring about not just lower prices, but a richer tapestry of consumer choices.
More inspiration from Allan Fels:
Link to his book: TOUGH CUSTOMER, Chasing a better deal for battlers
Please visit our website, www.businessandsociety.net, for more inspiration.
United States
