Measuring the Impact of the Competition Act
JEL Classification K00 and K21
Patrick Massey and Paula O'Hare
Competition Authority, Irish Life Centre, Talbot Street, Dublin 1,
Ireland
Abstract
This paper analyses the impact of the Competition Act 1991,
largely by focusing on the decisions of the Competition Authority during its
first three years. The Act, which was based on Articles 85 and 86 of the Treaty
of Rome, introduced a prohibition based system of competition law in Ireland. It
appears that the Act has not been wholly effective due, in part, to the abscence
of an effective system of state enforcement. It is proposed that the Act be
amended to enable the Authority to investigate breaches of the Act and take
court actions in such cases. This raises some questions about devising penalties
which will provide a sufficient deterrent to firms engaging in anti-competitive
behaviour.
Acknowledgements
The authors would like to thank Patrick Lyons, John
Fingleton and Joe Durkan for their helpful comments on an earlier draft while
accepting full responsibility for any remaining errors and omissions. The views
expressed in the paper are those of the authors and do not puport to represent
those of the Competition Authority.
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